Our survey exposes the need for organisations to be more prepared for these risks and to ensure they have the right insurance solutions for their specific circumstances, said Dan Francis of Clements Worldwide.
London, UK (PRWEB UK) 31 July 2015
Political unrest is the number one concern among global risk managers at multinational organisations and non-governmental organisations (NGOs), according to a new survey by leading international insurance provider Clements Worldwide. The “Clements Worldwide Risk Index,” released today (30th July 2015), also shows that many organisations are unprepared for threats such as terrorism or disease outbreak, while property damage and employee medical expenses represent the largest sources of financial losses among respondents.
Twenty-eight per cent of the risk managers who responded stated political unrest was their top concern, while 25 per cent cited kidnapping, and nearly 10 per cent cited terrorism. Twenty-one per cent of respondents had delayed plans to expand into new countries due to rising international risks.
“Such concern about political risks abroad confirms the need for companies to better assess their exposures worldwide,” said Dan Francis, vice president of Global Business Development. “Leaders face significant operational risks abroad - from general liability to political violence which may result in evacuation. Our survey exposes the need for organisations to be more prepared for these risks and to ensure they have the right insurance solutions for their specific circumstances.”
When it comes to terrorism, the Clements Worldwide Risk Index results confirm the concern recent events have raised among global decision-makers. The U.S. State Department’s Annual Country Report on Terrorism released in April indicates that the number of terrorist attacks worldwide in 2014 increased 35 per cent, while total fatalities from terrorism activities grew by 81 per cent, compared to 2013.
However, on the subject of readiness to respond against such potentially violent or catastrophic events, 21 per cent of respondents admitted being “not prepared at all’ for a terrorist attack,” while 11 per cent considered themselves “very prepared.” Seventeen per cent said they were “very prepared’ for the ramifications of a disease outbreak, while 10 per cent said they were “not prepared at all” for that threat.
Additionally, 21 per cent said they were “not prepared at all” for a cyber-attack. Conversely, in what could demonstrate appropriate planning against potential business disruptions, more than half of the respondents (57 per cent) reported increasing spending on international insurance, while 44 per cent reported increasing spending on risk management overall.
“As risks rise, so must investment in insurance to protect against these global risks,” Francis added. “The Clements Worldwide Risk Index gives further insight into these risks that clients can utilize as they assess how to better protect their international staff and foreign-based business operations in an increasingly complex global landscape.”
For media enquiries, please contact:
0207 736 1888
Notes for editors
About the Clements Worldwide Risk Index
Clements Worldwide conducted an online survey among 4,000 executives responsible for global risk management in multinational organisations and non-governmental organisations (NGOs) from April to June 2015. Of the 52 responses, 40 per cent of respondents’ organisations employ between 100 and 1,000 employees, and 40 per cent reported that 76 per cent or more of their staff are located overseas. The population came from Clements Worldwide’s roster of development clients as well as partner organisations whose members include organisations working internationally, often in high-risk locations.
About Clements Worldwide
Clements Worldwide is a leading insurance provider for expatriates and international organizations. Founded in 1947, Clements offers international car, property, term life, health, specialty and high-risk insurance in over 170 countries. With offices in Washington, D.C., London, and Dubai, Clements delivers comprehensive and customized coverage, superior customer service, and unparalleled claims response. For more information on the Clements Worldwide Risk Index and the methodology associated with the survey, visit https://www.clements.com/portals/europe/intl-specialty-commercial/capabilities.