COVID-19 highlights weaknesses in insurers' enterprise risk management
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<dateIssued>2020</dateIssued>
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<abstract displayLabel="Summary">Reinsurance, and to some extent insurance, has thrived on globalisation with limited barriers to entry. With this has come an increasing interconnectivity of risks between markets and participants, and the consequences of a higher risk of contagion between insurance and other sectors. As these risks have become intertwined in increasingly complex relationships, insurers cannot expect to be immune to economic slumps and supply chain disruptions.While enterprise risk management (ERM) has evolved rapidly over the past decade, the COVID-19 pandemic has served to emphasise that unknown unknowns and unexpected accumulations that can affect (re)insurers still remain.</abstract>
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