Good news: The world economy is on the path to a strong recovery following the COVID-19 crisis.

Crop insurance payouts in Alberta will likely reach about $1 billion later this year due to hot, dry weather that is contributing to severe drought conditions, Alberta’s Minister of Agriculture and Forestry said Thursday.

Insurance is essential for individuals, businesses, and communities to recover quickly from natural catastrophes ‑ but perils have evolved to a point at which risk transfer, though necessary, isn’t enough to ensure resilience.

Last month, a 12-story condominium in Surfside, Florida collapsed, killing dozens of people. It will take years to determine the cause.

Kroll recently released its 2021 Anti-Bribery and Corruption Report, surveying hundreds of senior compliance and risk professionals globally on the anti-bribery and corruption (ABC) landscape, and among the most striking findings were that 70% of respondents indicated that environmental, social and governance (ESG) should be included in ABC programs.

Insurers are getting a front-row seat in learning the risks that come from aging renewable energy-producing equipment, says an industry expert. The last 15 years have seen a spark in growth in the area of renewable energy development, particularly in wind and solar.

American International Group (AIG) has done something it has never done before – release an environmental, social, and governance (ESG) report – which AIG president and chief executive Peter Zaffino said is part of the insurer’s transparency pledge.

As I was watching the morning news, I heard some pundits, who obviously had no idea about insurance, claim that those people whose businesses, buildings, and inventories were destroyed by fire, vandalism, and theft during the so-called mostly peaceful demonstrations were not victims, nor were they harmed, because they were indemnified by insurance.

Fears about COVID-19 infections in the workplace, questions about safety precautions, and concerns about vaccination rates are key reasons why some property and casualty insurance professionals say they are not enthused about a return to the office.

Recent developments in technology and the corresponding availability of data can improve risk prevention. A key driver is the Internet of Things (IoT), the growing network of connected devices ranging from consumer wearables to industrial control systems.

Early in June, Senator Kirsten Gillibrand and Representative Antonio Delgado (both D-NY) reintroduced legislation that would regulate per- and poly-fluoroalkyl substances (PFAS) under the Clean Water Act.

Lloyd’s CEO John Neal has described climate change as ‘the largest single underwriting and investment opportunity’ that most re/insurers will see in their careers.

In UN Secretary-General António Guterres’ closing remarks at the Insurance Development Forum held virtually earlier this week, he asserted that the insurance industry is in a ‘race against time’ to make the adaptations necessary for adapting to the speed of climate change.

Increasingly severe and frequent weather events have devastated new regions of the country and no longer seem to follow a formal seasonal pattern.

An innovation strategy around big data and artificial intelligence will uncover insights that allow smart carriers to acquire the most profitable clients and avoid the worst. Companies that develop the best portfolios of risks will ultimately enjoy a flight to quality while those left behind will compete for the scraps of insurability.