At the beginning of 2015, the World Economic Forum revealed the results of the 10th edition of the Global Risks Report, which features an annual assessment by experts on the top global risks in terms of likelihood and potential impact over the coming 10 years. While these results are essential to determining business success, it’s equally important to stay abreast current trends to keep a pulse on what’s happening now. In a continuing effort to provide our agents and brokers with Risk Management Resources, we’ve compiled below some of the top risks now, as recently reported by the Travelers Business Risk Index.
Cyber Liability
Cyber risks ranked fifth place last year on the same report, however has jumped to number 2 as a large concern for all classes of business. These risks are expected to stem from malicious and criminal attacks, along with user error and system glitches. Whether it’s obtaining a computer or data system infected with a virus or suffering a security or data breach, 70% of businesses cite cyber risks as their largest concern.
Medical Cost Inflation
While cyber risks, or Privacy and Network Security Concerns, may be the most relevant issues to be facing your particular clients, the leading concern, according to the Travelers report, for businesses is actually medical cost inflation. Although the number of respondents actually decreased from last year’s survey results, it’s still cited as a concern and a risk that businesses are least prepared to manage.
Legal Liability
Legal liability risks are nothing new. Coming in as the 3rd biggest risk concern amongst U.S. businesses, specific concerns stem from professional mistakes, errors and omissions, employee-based lawsuits due to discrimination and other causes, and injuries among both clients and employees.
The above listed risks are just a brief rundown of the top risks concerning businesses. In addition to bringing you the latest news from the insurance industry, PL Risk Advisors provides Resources for Agents and Brokers nationwide. We’ve recently implemented Hiscox Now, which allows agents their own access to Hiscox and instant quoting. PL Risk Advisors is a leading wholesale insurance brokerage covering the professional liability market. For more information about our products and services, please contact us today at (855) 403-5982.
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