The risk universe is expanding.
Though natural risks remain the main cause of destruction, new risks are emerging and existing risks are continuing to evolve: health, climate, geopolitical, cyber, energy, financial risks, and more. No sector, business, or individual is immune to these risks.
It is our mission as (re)insurers to contribute to societal resilience by providing financial protection in the face of unexpected events. To fulfil this mission in the context of today’s turbulent environment, the industry needs to be able to prepare for and respond to this increasingly complex and interconnected risk universe.
The Emerging Risks Report endeavours to identify those emerging risks that are likely to have a direct impact on SCOR and the (re)insurance industry at large. For SCOR, “Emerging Risks,” include both new (i.e. previously unknown) risks, as well changing risks which are known but rapidly evolving. In the report, SCOR experts explore 28 of the concerns that are most likely to have an impact on human societies in the next decade, including mental health, endocrine disruptors, cyberattacks, AI, and social unrest. The report also identifies eight “trends,” that are longer-term patterns that can generate individual risks, such as changing demographics, emerging technologies, hyperconnectivity, and global climate change.
As volatility grows and risks have increasingly unpredictable secondary impacts, SCOR recognises that these risks are spreading beyond the reach of the insurance industry. In order to protect people, societies, and the natural world, we need to work together with stakeholders and decision makers outside the industry to ensure that solutions are coming from across industries and governments.
The recent SCOR Live Session tackled these questions and opened the conversation around emerging risks to a wider audience. With a particular focus around emerging life, health, and cyber risks, industry experts offered their insights about where the industry currently stands and how we can anticipate and prepare for adverse events in the future.
At SCOR, we believe that we have a role to play in understanding, preventing, and sharing our knowledge about emerging and evolving risks. It is only when all shareholders are informed and engaged that we can act as an industry to address these growing concerns. .