LONDON, UK—As the anniversary of Superstorm Sandy approaches, CEOs need to take natural disaster risk more seriously according to a newly released whitepaper “Prepare for the Expected: Achieving Business Resiliency in an Era of Severe Natural Disasters” from FM Global, one of the world’s largest business property insurers.
With insights from renowned business and academic experts about lessons learned since Sandy a year ago, the whitepaper pushes chief executives to recognise and address natural disaster risk to their infrastructure, business operations and global supply chains.
Outlined in the whitepaper are “Seven Costly Sins Committed by CEOs” as well as the short-term and long-term effects that natural disasters can have on businesses and on economies. It also highlights companies that have successfully faced and stood up to natural disasters through proper preparation and prevention.
According to the whitepaper, CEOs “otherwise tempt the possibility of long business disruptions, loss of market share, financial instability, customer dissatisfaction and severe reputational issues.”
“CEOs own risk for their organisation, yet many only have a tenure of a few years,” said Tom Lawson, FM Global executive vice president. “However, a once-in-a-century event like Sandy has a 1 percent chance of occurring each year a chief executive serves. The colossal financial losses that can arise should make even a 1 percent threat a top-of-the-agenda item.”
To download a copy of “Prepare for the Expected: Achieving Business Resiliency in an Era of Severe Natural Disasters”, click here.
About FM Global
For nearly two centuries, many of the world's largest organisations have turned to FM Global (www.fmglobal.co.uk) to develop cost-effective property insurance and engineering solutions to protect their business operations from fire, natural disasters and other types of property risk. With clients in more than 130 countries, FM Global has been named "Best Property Insurer in the World" by Euromoney magazine, "Best Global Property Insurer" by Global Finance magazine and received the prestigious Queen's Award for Enterprise. In the United Kingdom, FM Global is the communicative name for FM Insurance Company Limited, which celebrates its 50th anniversary of international operation in 2013.