ACE USA Podcast Looks at Global Exposures

As the global marketplace continues to expand, multinationals (and organizations of every size doing business overseas) are challenged by an evolving continuum of threats that place their people, assets, operations, reputation and revenue at risk.

Launched today, a new audio podcast (or Internet-distributed program) from ACE USA, the U.S.-based retail operating division of the ACE Group of Companies, explores the broad and mercurial array of global risk management challenges and gives corporate risk managers valuable insight designed to help them assess global threats, (including "worst case scenarios" such as kidnapping, extortion and piracy), minimize their risk before incidents occur, and prepare to mitigate the impact of exposures.

The podcast, titled "Evolving Challenges for Managing Global Risk," is presented by Jean McDermott-Lucey, vice president of ACE Professional Risk's Kidnap & Extortion underwriting team, and Neil Young, group director of Risk Management for global security and crisis management firm ArmorGroup International Plc., and managing director of its wholly owned subsidiary NYA International Ltd.

According to McDermott-Lucey, global risk is becoming increasingly more complex and difficult to manage because the environments that we live and work in are subject to social, economic, political and other changes that can swiftly and dramatically change the risk landscape. As businesses continue to expand into new countries and markets, increased opportunities and rewards are accompanied by increased threats and risks. Distinguishing threats from the risks they pose is a good first step toward managing global risk, McDermott-Lucey reports.

Young concurs. "Threats can be defined as events, that, should they occur, may cause a negative impact on people or organizations. Risk is the level of likelihood that a threat will occur, and the damage it will cause when it does. Threats may always exist, but the risks that they will occur, and their consequences, can be mitigated," he added.

This audio podcast provides corporate risk managers valuable insight into the importance of a fully integrated and combined risk mitigation/risk transfer approach to global risk management. Risk mitigation, for example, requires that directors and senior managers recognize that continuously variable threats and risks exist, accept that their employees and company can be affected, act to identify threats and determine their identified risks, implement solutions to mitigate threats and risks, and, make themselves accountable. Also covered are suggested tips for identifying threats, assessing risks, and a step-by-step approach to prevention, training, and crisis preparedness and response.

"As multinational, middle-market and smaller organizations add new risks to their portfolios and expand to new global markets, the challenges and complexities of doing business outside the U.S. can become daunting, as the increase in global exposures demonstrates. We encourage risk managers to protect their organizations by keeping abreast of emerging global business risks, insurance coverages and risk management services designed to protect against them, as well as industry best practices," said McDermott-Lucey.

To access the ACE Professional Risk audio podcast program (approximately 16 minutes in length), visit www.aceusa.com/News/Pages/Podcasts.aspx. The material presented in the podcast is not intended to provide legal or other expert advice. It is presented for general information only. Listeners of this podcast should consult knowledgeable legal counsel or other experts with any questions. The above is only a summary; see actual policies for terms and conditions.