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Jun 2024

Global Risk Review


Rising cyber threats pose serious concerns for financial stability

Cyber attacks have more than doubled since the pandemic and while companies have historically suffered relatively modest direct losses from cyber attacks, some have experienced a much heavier toll.
 


Climate change financial impact could be twice that of previous estimates

Climate change will reduce future global income by about 19% in the next 25 years with the poorest areas and those least responsible for heating the atmosphere taking the biggest monetary hit, according to a new study.
 


Insurers optimistic about AI impact on underwriting quality

Almost two-thirds (62%) of insurance executives recognise AI and machine learning technology as elevating underwriting quality and reducing fraud in the insurance industry.
 


Avian flu could be transmitted to humans

The World Health Organization (WHO) has expressed concern regarding the potential for transmission of avian influenza to other species including humans.
 


Inflation main driver for rising cargo crimes

High inflation is a primary macroeconomic driver of cargo crime patterns and the rise in food and beverages as a stolen commodity is one such indicator, according to annual Cargo Theft Report 2023.
 


Why are major cities in China sinking 'rapidly'?

By 2120, around a quarter of China’s coastal land could be below the sea-level, according to a research paper published in the scientific journal Science.
 


Climate change could spread malaria risk to new countries

Climate change could see malaria cases in countries previously free of the disease, bringing new health risks for workers travelling overseas, according to health and security firm International SOS.
 


Climate change creates a 'cocktail' of serious health hazards

The health consequences of climate change can include cancer, cardiovascular disease, respiratory illnesses, kidney dysfunction and mental health conditions. Moreover, a ‘staggering’ number of workers, amounting to more than 70% of the global workforce, are likely to be exposed to these climate-change-related health hazards.
 


Vulnerability exploitation surged by nearly 3X in last one year

The 17th-annual data breach investigations report (DBIR) by Verizon has found that ransomware and the meteoric rise of extortion techniques accounted for a third (32%) of all breaches in last one year.
 


Safety and risk management infrastructure expanded

The UK P&I Club has expanded its safety and risk management remit to provide its members with resources and guidance to help them navigate increasingly complex risk environments.
 


Almost 85% of supply chains can't respond to disruptions in 24 hours

A new global survey of 1,800 supply-chain leaders has revealed that average response time for supply chains to respond to disruptions is five days, hindering progress on resiliency and risk mitigation.
 


Indonesian forests under threat from nickel mining

An area larger than Singapore has already been deforested to make way for nickel mines in Indonesia with a further 0.5m hectares of forest under threat as it pursues its ambition to be the world’s hub for electric vehicle (EV) battery minerals.
 


Four ASEAN countries among the world's top emitters at high risk of climate disaster

Indonesia, Malaysia, Thailand and Vietnam are the four ASEAN countries that are among the world’s top emitters and at high risk of climate disaster.
 


Intangible versus tangible risks comparison

New research aims to provide a better understanding of the evolving threats of generative AI, cyber and IP and also provides a focus on the role insurance can play in protecting intangible assets to help organisations make better decisions regarding allocation of their finite resources to protect against tangible and intangible perils.