Maritime industry unprepared to deal with global issues, reports Marsh

Maritime industry unprepared to deal with global issues, reports Marsh
Charlie Wood 5th October 2018 - https://www.reinsurancene.ws/maritime-industry-unprepared-to-deal-with-g...

The global maritime industry is not prepared to deal with major issues that are likely to impact it over the next ten years, according to senior maritime stakeholders surveyed in an industry report backed by global insurance broker and risk adviser, Marsh.

Marine shipping reinsuranceThe report examines the impact and likelihood of 17 major issues based on research among senior maritime stakeholders across over 50 countries globally.

According to research, the maritime industry does not appear to be prepared for any of these issues. This is amplified by the fact that the issues the industry are least prepared for are the ones deemed to have potentially the biggest impact on the sector.

“The difference between a risk and an opportunity is how soon you discover it,” said Peter Stokes, Chairman of Global Maritime Forum.

“The Issues Monitor shows that there is a need for a greater awareness of the long-term forces shaping our decision-making and the Global Maritime Issues Monitor can in this perspective be seen as a modest contribution to a thorough understanding of the current state of affairs.”

Branded the industry’s “Achilles’ heel” in the report, cyber attacks and data theft stood out across the board.

In addition to being ranked as the top issue that the industry is least prepared for, executives believe it has the highest likelihood of occurring and is only surpassed by a global economic crisis and energy price fluctuations in terms of impact.

“Emerging digital technologies are challenging conventional business models and are creating new opportunities for the global maritime industry,” said Marcus Baker, Chairman of Global Marine Practice at Marsh.

“But, along with its transformative power, this digitalization is creating rapidly evolving risks such as cyber-attacks and data theft. It is worrying that, despite recent high-profile attacks, the industry is failing to get to grips with cyber risk.”

“By taking a more strategic approach, firms are better positioned to capitalize on these opportunities, while protecting their people and assets from digital threats,” Baker concluded.