Pandemics became the top concern for insurance professionals this year as the COVID-19 crisis roils the industry worldwide.
Infectious diseases and pandemics were ranked as the most significant risks to society over the next five to 10 years in a study published Thursday by French insurer AXA SA. That’s a reversal from last year, when climate change was seen as the biggest concern. (Editor’s note: The report is available to download here).
COVID-19 is proving to be a major challenge for insurers, especially those that provide cover for canceled events such as sports matches and concerts. Disputes over coverage have led some policyholders to take legal action, with AXA recently losing a lawsuit against five restaurant operators. The insurer said it will appeal the ruling.
The survey of 2,600 insurance professionals in 53 countries, found that 56% of the respondents consider pandemics one of the top five emerging risks, up