London (April 10, 2019) Europe faces an increasingly complex security environment, as Islamist and far-right terrorism creates new vulnerabilities for businesses and communities, according to new research from Aon, the leading global professional services firm providing a broad range of risk, retirement and health solutions.
Aon’s 2019 Risk Maps, developed in partnership with Continuum Economics and The Risk Advisory Group, examine political risk, terrorism and political violence around the world. This year the picture is complicated further by a resurgence of populist politics, which has encouraged potentially divisive policy shifts and may is some cases fuel extreme ideologies, while challenging Europe’s rule-based order.
These issues are creating new risks for business, from the security of their employees and property in the face of increasing terrorism risk, to impacts on their supply chains and investments as a result of populist government policies. There is a range of risk management solutions that organisations can use to respond to these challenging conditions.
Scott Bolton, Director, Crisis Management at Aon said: “Insurance coverage is available to protect business against both the threat and impact of terrorism, but also for more nuanced issues such as denial of access as part of a security operation, loss of attraction following a terrorist attack, or the impact from acts of violence where motives aren’t immediately apparent; extending cover to include “malicious” loss triggers.”
Sarah Taylor, Head of Political Risk and Structured Credit at Aon, added: “Businesses operating in territories where political risk is elevated should be considering insurance that covers against government decisions that can lead to contract cancellation, when measures are introduced to create barriers to trade, and against government action that curtails business operations and/or investments.”
Henry Wilkinson, Head of Intelligence & Analysis at the Risk Advisory Group, said: “Reactionary populism in the political mainstream in several countries has given extremist fringes a sense of opportunity upon which to mobilise violent protests and intimidation around divisive political themes. Far right terrorism remains a largely disorganised but growing threat. Businesses in Europe cannot be complacent about violent risks in traditionally stable markets. A comprehensive capability to monitor, assess and manage violent risks, is as essential as a violent risk transfer strategy.”
Key findings include:
Notes to editors
Aon’s Risk Maps, developed in collaboration with Continuum Economics and The Risk Advisory Group, are designed to help firms better understand and navigate evolving exposures created by political risk, terrorism and political violence. In today’s complex geopolitical and economic environment, the maps enable clients to identify and track the different sources and degrees of risk, assisting businesses in planning and protecting assets, contracts and loans that could be adversely affected.
For more information and to access the interactive maps and full report please visit our dedicated Risk Maps site.
Aon plc (NYSE:AON) is a leading global professional services firm providing a broad range of risk, retirement and health solutions. Our 50,000 colleagues in 120 countries empower results for clients by using proprietary data and analytics to deliver insights that reduce volatility and improve performance.
Aon Media Contact
Name: Tom Blackwell, FTI Consulting
Phone: +44 (0)20 3727 1051