Swiss Re notes disconnect between risk and mitigation

Theres a growing disconnect between risk and mitigation, and bold action must be taken to address it, a Swiss Re executive member told a panel discussion at RIMS 2007 in New Orleans.Agostino Galvagni, a member of Swiss Res executive board and head of the companys global and large risks division, outlined sponsorship of a report, Global Risks 2007, unveiled at the World Economic Forum in Davos, Switzerland earlier this year.Galvagni said many of the 23 core global risks explored in the report have worsened over the last year.In his presentation, Galvagni introduced the reports recommendations, including the establishment of country risk officers and the formation of a coalition of the willing in an effort bring governments and business together to develop and execute mutually beneficial risk mitigation strategies.Galvagni and other panelists noted various needs as outlined in the report: Implementation of a successor agreement to the Kyoto Protocol this one involving the United States and emerging nations in an effort to legislate the reduction in carbon emissions that are harmful to the environment and climate. Renewal of schemes that guarantee government support for terrorism insurance, including TRIA in the United States, and Identification of choke points in supply chains and vulnerabilities that could exacerbate the threat of pandemics.Global risks are tightly woven in todays world, said Galvagni. Governments and enterprises need to take a holistic approach to overcome silo-thinking and acting.We need to prioritize risks effectively, improve preparedness and strengthen public-private partnerships to mitigate risks and to finance economic losses.