ACE survey shows only 7% have cover
Most companies in the European Union (EU) feel underprepared for emerging risk, especially terrorism and political violence, according to an ACE survey of 600 firms.
The survey showed that 54% of firms said that they felt unprepared to deal with the threat of terrorism and political violence. In addition, 32% of firms cited these as the most important risks for their businesses.
The second and third most prominent concerns were environmental and multinational/export risk, ranked as 30% and 27% respectively.
Currently, only 7% of companies have fully comprehensive terrorism and political violence cover in place with 34% of companies having nothing.
In the wake of events such as last year’s UK summer riots, over half say they feel underprepared to deal with the threat of terrorism and political violence. Insurers have also named these events as reasons for increased concern.
ACE European group chairman Andrew Kendrick said: “Our research indicates that the majority of European companies feel underprepared to deal with the emerging risks they face. It also points to a number of steps that companies can take to increase preparedness.”
ACE European group terrorism underwriting manager Piers Gregory said: “Insurers and brokers must work together to help European businesses understand the potential gaps that exist in their insurance cover and take informed decisions on insurance purchasing.”