The latest Risk Barometer survey by Allianz brought up some interesting responses regarding the most feared business risks for 2019.
This year the survey had over 2,400 participants from 86 countries, including Australia. Some of the top risks perceived by Australian and overseas businesses included:
- Business Interruption – due to a range of matters such as product recalls, threats from terrorism and pollution, technology breakdowns, fire and natural disasters.
- Cyber security – this ranked as one of the most feared risks, especially with the rise of ransomware and other online threats.
- Changes in legislation and regulation – where business owners can sometimes struggle to keep up with new rules and regulations, taxes, tariffs and so on.
- New technologies – such as artificial intelligence and its potential for causing market disruptions.
- Market developments – for example, market stagnation and fluctuations.
Implementing risk management strategies
Australian organisations need to plan and prepare for a wide range of disruptive scenarios. This includes implementing risk management strategies to prevent losses.
Insurance forms an essential part of any business’s risk management plan.
- Business Interruption insurance – provides cover for businesses to keep operating and paying their expenses following a major interruptive event.
- Cyber insurance – for systems failures, data loss and corruption, and other cyber security threats.
- Industrial special risks – financial protection for property damage or destruction and indirect losses such as damage to suppliers.
Every organisation is different and it’s important to accurately assess your business’s risks so you can get a tailored insurance package. A Reliance Partner can help you with this – get in contact for a discussion.