As fate will have it Rotterdam will once again be the focal point for the global risk industry for the second time in a fortnight as this weekend marks the opening of the Biennial conference of the Federation of European Risk management Associations (FERMA).

Risk managers arrive in the Dutch city a week after the world’s marine insurers left the city following the International Union of Marine Insurance (IUMI) annual conference.

While they could be viewed as being on opposite sides of the insurance transaction both events will be dominated by two core themes – rising geopolitical risk and its effect on global supply chains.

Those seeking to get an insight into the mood of European risk managers may take some indications from UK and Ireland risk management association,  Airmic’s Guernsey Conference.

Unsurpingly captives were high on the agenda. The event explored how captives are being used in practice to address the challenges presented by geopolitical uncertainty, cyber risk, AI and climate change. They also highlighted how organisations can evolve to build greater resilience into their business models, improving their ability to anticipate and protect against emerging risks.

Speakers stressed that businesses must move beyond viewing risks individually and instead understand how disruption can cascade across entire operational ecosystems, as global dependencies across the supply chain converge.

“The risk map is no longer linear. I think it is much more interconnected and holistic,” said Dr Raveem Ismail, founder and chief executive of Oxford Specialty.

Scott Livingstone, international adviser at NatWest Group, added that organisations should seek to develop more-agile planning cycles to keep up with the rapid pace of geopolitical changes.

He said: “I think companies do need to look at the risk management model they had last century. Is it fit for this century? What will they do about it?”

On outsourcing the view is that risk managers need to understand they need to take responsibility for those in which they put their trust to deliver those services.

Cleo Curl, group insurance director at Landsec, said: “You cannot outsource accountability. You can outsource the service providers. So, the board needs to really understand what it is they are looking at, and when they do not understand it, they need to ask. They need to keep asking until they understand.”

It is clear that the complexities and interconnected nature of the current risk environment coupled with the uncertainty around the geopolitical risks and ongoing conflicts will provide risk managers in Rotterdam with plenty to consider and to discuss.

The underlying issue is the response of the insurance sector. Relevance has long been a word which has been used to warn insurers that as risks change so should they.

With a new UK captive regime set to be launched in the months to come, risk managers will have more choice as to where to transfer their risks so it will be interesting to see what messages come from the Netherlands in the days ahead.

Jon Guy, Editor,

Emerging Risks