What is the top concern for the world's risk managers?

What is the top concern for the world's risk managers? | Insurance Business Canada

What is the top concern for the world's risk managers?

Cyberattacks and data breaches have been identified as the top concern among risk managers worldwide, a new survey by Aon has revealed.

Over 2,300 respondents in 60 countries across 16 industries at both public and private companies participated in the 2021 edition of Aon’s Global Risk Management Survey. It was noted that cyberattacks and data breaches topped the list as the number one current and predicted future risk globally – its highest rank since the inception of the survey.

Cyberattacks also made the top 10 list of risks across each region, industry, and respondent type, Aon found.

“The world is a more volatile place, and the importance of better decision making has never been greater,” commented Aon commercial risk leader for North America Joe Peiser.

Aon also noted that the COVID-19 pandemic had a knock-on effect across other types of risk, as long-tail risks have become increasingly more important to manage.

“Long-tail risks are not single events. They’re innately interconnected, as we’ve seen with the COVID-19 pandemic fundamentally changing the way the world works, revealing new risks and re-ordering priorities in the C-suite,” said Peiser. “A preoccupation with managing these immediate risks may be compromising firms’ ability to invest in the risks of tomorrow.”

“Historically, risk managers and insurers have learned and made decisions by analyzing data from loss events that have occurred. This approach must evolve, and priorities and approaches need to change, in order to proactively manage the uncertainties of potential emerging exposures such as complex supply chains; we can’t rely solely on the past to inform future risks,” said Aon chief client officer of commercial risk solutions in Canada, Bill Besse.