A survey of insurance chief risk officers has revealed conduct risks are the top challenge for the Asia-Pacific region, with cybersecurity and adaptations to changing business models also raised as key threats.
The inaugural EY and Institute of International Finance report found 54% of respondents view conduct risk as the biggest threat to their business in the next year, well up on the global figure of 19%. Asia-Pacific respondents made up 18% of all participant risk officers.
Cybersecurity, which ranked first among global responses at 53%, tied as the second-greatest concern for Asia-Pacific at 46%, along with changing business models.
Respondents also expressed concern about capital allocation and credit risk, with both issues among the top five regionally and worldwide.
EY Oceania Insurance Leader Walter Poetscher says while many responses from the Asia-Pacific region align with global trends, recent regulatory changes explain the heightened conduct concern.
“With conduct-related regulations established in Australia and several other markets in the Asia-Pacific region, including Hong Kong, Malaysia and Singapore, it makes sense that [risk officers] here would have it as a…
