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17th of May 2012

Biodiversity risks are not fully understood warns Marsh

Vicky Beckett 05/10/2011

Marsh has warned that insurers are failing to understand the risk of biodiversity loss.
 
The broker’s latest white paper, ‘Biodiversity – the Value of the Environment,’ indicates that the chronic loss of biodiversity remains a risk that is still not well understood.
 
Cliff Warman, EMEA environmental practice leader for Marsh, said: “Many companies that have significant risks also operate captive insurance operations.
 
Warman said the requirement to protect the environment is a key risk to businesses.
 
“It is imperative that these risks are understood so that firms maximise their risk management effectiveness.”
 
The white paper says that companies must have a greater understanding of the environmental risks around operation sites as part of their risk management strategy.
 
This will allow risk managers to assess potential financial and reputational impacts of causing environmental damage.

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