Use of multinational programmes to increase: Survey

More than eight out of ten European companies expect to increase their use of multinational insurance programmes over the next three years as they become increasingly concerned about the risk management implications of their rising exposure to emerging markets, according to new research published recently by ACE Group.

The survey of 280 risk managers across Europe, also points to heightened concerns about the growing complexity of international regulation and the impact of cross-border risk profiles on the companies’ loss experience.

Respondents also worry about the changing liabilities their multinational operations face. Four of the top six risks that they expect to create the greatest risk exposure for their multinational operation in three years’ time relate directly to liability issues. Cyber risk, which has a significant liability dimension ranks second. Environmental liability ranks third, underlining a growing awareness of new and emerging liabilities. Professional indemnity and directors and officers liability are also in the top six, highlighting the increased challenges for decision-makers in a globalised world.