Risk leaders warn of short-termism amid growing volatility

Global business leaders now see geopolitical and economic uncertainty as the greatest obstacles to growth, with inflation and political unrest key amongst corporate risks. These findings come from Beazley’s 2025 Geopolitical and Economic Risk and Resilience Report, which surveyed 3,500 senior executives across multiple regions and sectors.

The research paints a picture of firms operating in a complex, fast-moving environment where trade tensions, energy costs and policy shifts are converging to test resilience.

In response, 32% of businesses plan to reassess the security of their overseas operations this year, up from 23% last year. Supply chain disruption has become a major operational concern, with 87% of companies planning to adjust suppliers or reroute operations due to geopolitical tension. Some 35% report increasing their investment in risk management and loss prevention since early 2024, aiming to ensure that innovation is matched by resilience.

Despite the pressures, many firms continue to pursue high-risk, high-opportunity frontiers such as AI, fusion energy and lunar exploration.

Insurance, meanwhile, is being evolving beyond protection, becoming a strategic lever. Firms are using it to expand into new markets despite regulatory hurdles, secure access to critical resources and protect against emerging exposures, including cyber threats and political disruption.

Bethany Greenwood, chief executive officer of Beazley Furlonge Limited and group head of specialty risks at Beazley, said: “Resilience isn’t just about surviving disruption; it is about turning risk into competitive advantage. Innovative insurance solutions, including political risk coverage, parametric supply chain protection and crisis management services, are helping businesses act confidently in uncertain conditions.”



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