Harris Poll survey of business leaders also discloses leading
strategies to mitigate these and other growth risks, identifying
cyber, tech and financial risk as top three disruptors requiring
greatest investment and labor to mitigate, and where insurance is
most effective.
NEW
YORK, Jan. 6, 2025 /PRNewswire/ -- A report from
Chubb identifies cybersecurity, and technology disruption – often
caused by malicious AI manipulation as the top threats to business
growth, as revealed in a Harris Poll survey of 500 risk
decision-making business leaders commissioned by Chubb
for Risk Decisions 360°: Emerging Risks That Can Impede
Sustainable Company Growth.
Cyber breaches and data leaks -- cited by 40% of executive
respondents -- far outpaced other man-made growth disruptors
including accidents, regulations, social unrest and hazmat
exposures as a concern, while no other risk factor was mentioned by
more than 25%. Similarly, cybersecurity was the leading
geopolitical risk, cited by 60% of executives, while resource
scarcity, climate change, political instability and other risks all
scored near or below 40%.
"Chubb's 'Risk Decisions 360°' report provides critical insights
into the evolving risk landscape, empowering businesses of all
sizes to make informed decisions and achieve sustainable growth,"
said Juan Luis Ortega, President,
North America Insurance at Chubb.
Chubb's report established that 86% of companies already have or
will soon adopt business interruption coverage for events like
cyberattacks, natural disasters or supply chain disruptions: with
53% having coverage in place, and another third plan to add it in
the next 12 months.
Executives surveyed acknowledge the challenge of effectively
managing the breadth of emerging and evolving risks, with more than
one-third believing that their company isn't either extremely or
very effective at mitigating risk.
Additional Key Findings
Cybersecurity:
- 74% of executives at large companies cite cybersecurity as the
top risk to growth, with 40% reporting that cyber breaches and data
leaks have been the most disruptive and financially burdensome
man-made threats.
- Monitoring cyber incidents and events is the most commonly
deployed risk mitigation tool in the arsenal of businesses with 84%
of executives telling Chubb it is either a
fully-integrated/essential function in their organization (41%) or
used regularly (43%) with another 14% using it in some
situations
Technological Disruption:
- 79% of companies are implementing AI within their risk
management, though most express concern about AI-related risks,
such as deepfakes, with over 50% stating their company has
been impacted.
- For executives prioritizing technology, data integrity (56%)
and digital transformation challenges (53%) were the top concerns,
especially among middle-market businesses (60%).
Financial Risks:
- 59% of executives point to cash flow and (56%) cite inflation
and interest rates as significant obstacles to growth, with cash
flow problems (70%) particularly impacting small businesses.
The Role of Insurance:
- The report underscores the growing importance of insurance in
mitigating today's business risks. Over 89% of executives plan to
expand their cyber insurance coverage to address the increasing
threat of technological vulnerabilities.
Emerging Threats:
- Risks that are reported on regularly today – especially those
related to cyber security, artificial intelligence, climate change
and reputational damage as a result of viral social media events –
were either previously non-existent or have intensified greatly
over the last 10 years.
Methodology
The Risk Decisions 360°: Emerging
Risks That Can Impede Sustainable Company Growth report is
based on a Harris Poll of 517 executives across various industries
and a cross-section of three business sizes - small businesses
($50K-$30M in revenue), middle market businesses
($30M-$1B) and large companies ($1B or greater) - in the U.S. and Canada. The margin of error is +/- 4.3%.
About Chubb
Chubb is a world leader in insurance. With operations in 54
countries and territories, Chubb provides commercial and personal
property and casualty insurance, personal accident and supplemental
health insurance, reinsurance and life insurance to a diverse group
of clients. The company is defined by its extensive product and
service offerings, broad distribution capabilities, exceptional
financial strength and local operations globally. Parent company
Chubb Limited is listed on the New York Stock Exchange (NYSE: CB)
and is a component of the S&P 500 index. Chubb employs
approximately 40,000 people worldwide. Additional information can
be found at: www.chubb.com.
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SOURCE Chubb