REPUTATION AT RIsk - ACE Group

REPUTATION AT RISKeffective in each of these areas. There areno magic solutions. Nevertheless, at ACE, webelieve that there are effective steps that canand should be taken.In our view, companies can do more to evaluateand systematically track the perceptions of theirmain external stakeholders – whether theseare customers, the media, pressure groups orregulators – helping them to gain valuable insightinto potential trends and problems. Meanwhile,our own experience worldwide tells us that betterpreparation and more regular testing of crisisresponse plans allows for a faster responsewhen disaster does strike – a vital componentof restoring reputation in the age of socialmedia. Finally, our research does not identifyany easy solution for quantifying the financialimpact of reputational risk, but by applying a‘reputational lens’ to a range of more ‘traditionalrisks’, companies can perhaps better evaluate thereputational consequences of action or inaction.Andrew KendrickPresidentACE European GroupInsurance is not a panacea for the fast-evolvingworld of reputational risk. Nevertheless, webelieve there is much that insurers and brokerscan do collectively to help their clients. Thiscould include the evolution of new more holisticinsurance solutions that involve the input of crisisand PR specialists. More generally, it shouldinvolve professional risk engineering to improverisk management processes and governance. Lastbut certainly not least, it might be through helpingclients manage those more ‘traditional risks’ betterto reduce the likelihood of a reputational eventhappening in the first place. We hope you findthe research as interesting as we did and we lookforward to working with you to help you understandand manage this important area of reputational risk.03