Using the insight of nearly 750 experts, this year’s report is broader than ever before with the events of 2017 having a clear impact on this year’s outlook.
The report cited that the number one challenge this year was the need to address environmental issues including the loss of biodiversity and extreme weather conditions. These factors are already creating problems across the globe and the report calls for a long term, multilateral response to help tackle global warming and climate change.
Another key issue is managing cyber security risks. This will be a big issue for many of our clients, with attacks against organisations doubling over the past five years1 . Our Cyber Liability insurance is designed to cover the costs caused by a cyber breach as well as protecting you against litigation, data loss and business interruption.
On a more positive note, economic indicators suggest that the global economy is gradually recovering from the global economic crisis that began 10 years ago, however risks such as unsustainable asset prices and elevated indebtedness particularly in China continue to put financial strain on the global economy.
Finally, the report highlighted the risks generated by an increasingly fraught geopolitical phase. There is a need to reestablish the state as the key seat of power as at present there is no sign that the world’s major powers will converge and instead there are increasing military tensions and changing domestic political conditions. These factors will pose issues for a number of organisations and to mitigate risks will require careful horizon scanning and crisis resilience planning.
We currently arrange specialist insurance and risk management for a range of sectors, and can offer crisis resilience support and insurance cover whether you are a small or large multinational organisation.
It may be hard to predict how the following months will unfold, but Gallagher are on hand to help you transfer, mitigate and manage the risks created by this turbulent market. Not only do we support your needs by offering comprehensive risk management solutions and bespoke insurance cover, we also strive to keep you informed on the latest developments through our unique thought leadership pieces and sharing of relevant external sources.
To read the full World Economic Forum Global Risks report, please follow the link https://www.weforum.org/reports/theglobal-risks-report-2018
If you would like to discuss any of the technologies or issues brought up at the World Economic Forum, please get in touch with your usual Gallagher representative.