SAN FRANCISCO – Russia is a small player in the world’s financial markets but has a large presence in the energy and food markets, which can see volatility, and the aviation sector can have significant exposures in the conflict between Ukraine and Russia, say sector experts from Willis Towers Watson PLC. .
At the same time, cybersecurity is still a major problem in the midst of unrest in the region, according to panelists who spoke during a Wednesday session on the costs of the Ukraine crisis at Riskworld, Risk & Insurance Management Society Inc.’s annual conference in San Francisco.
While Russia accounts for only 0.3% of the weight of global stock markets, it accounts for 1
0% of global oil exports and 19% of global natural gas exports, according to Sam Wilkin, head of political risk analysis, financial solutions, at Washington for Willis. He added that the energy markets have so far seen the biggest ripple effects for the US from the conflict.Among the coverage lines, Mr. Wilkin that Willi’s flight crews see up to $ 15 billion in exposure to aircraft owners / lenders who claim that hull exposures have been seized.
Janet Pane, Head of Global Services and Solutions, for Willis in Hazlet, New Jersey, said the first concern among multinational customers was the safety and well-being of colleagues on site, knowing where they were and if necessary what extraction plans were in place in event of a new event.
“Good planning was really the message here,” she said, adding, “ongoing monitoring” is also key.
Cyber risks were also high on the panel’s agenda.
“Attribution is always a difficult thing”, but it has been alleged that there have been cyberattacks on Ukrainian authorities’ websites, media and social media, in an attempt to thwart communication, says Peter Foster, chairman, global FINEX cyber and cyber risk solutions, in Portsmouth , New Hampshire, for Willis. He added that the US government has recently warned banks of possible attacks on financial infrastructure.
When cyber guarantees try to strengthen exclusions from war, Mr. Foster that the implementation of multifactor authentication as a security measure is “critical”.
Risk appetite is a key factor in deciding which coverage and risk management decisions to implement, says Mary Catherine Stabler, Head of Risk & Analysis at New York for Willis. It really starts with establishing a “risk tolerance” for a company or an organization, which should be done together with the company’s financial team, she said.
Quick decision-making, she said, can then be made possible through technology. “Having flexible technology-based analytics is more important than ever right now because you can quickly revise exposures,” such as pulling employees out of a given location at short notice, something that now worries customers, Stabler said.
Source link
