The 18th annual emerging risk survey conducted by the Casualty Actuarial Society and the Society of Actuaries has revealed that climate risks, disruptive technology, and geopolitical instability are the top emerging risks according to risk managers. The online assessment included 201 participants from across the globe, primarily from North America, Bermuda, the Caribbean, Europe, South America, Asia, Africa, and the Middle East.
While climate change has consistently topped the list of emerging risks since 2021, in 2024 it shared the top spot with geopolitical instability, including civil wars. Concerns about the impact of AI have driven the upward trend of disruptive technology as an emerging risk, with cyber security and manipulation being particular hazards highlighted by survey respondents.
The survey also found that the risk of failed and failing states has been cited less frequently in recent years but saw a steep increase in 2023. Conversely, the selection of asset price collapse risk and financial volatility as current or emerging risks has reached new lows in the latest findings.
The top emerging risks identified by risk managers in the survey reflect recent events such as ongoing conflicts in Ukraine and the Middle East, hurricanes Milton and Helene, and trends in inflation and interest rates. Survey authors David Schraub and Max Rudolph emphasized the importance of understanding long-term risks beyond standard industry planning cycles.
To address potential recency bias, a midyear flash survey will be conducted in May 2025. This survey aims to provide valuable insights into how views on emerging risks evolve over time and help risk managers and actuaries take a long-term perspective on risk management.
Note: The image is for illustrative purposes only and is not the original image associated with the presented article. Due to copyright reasons, we are unable to use the original images. However, you can still enjoy the accurate and up-to-date content and information provided.
