marsh -2025 年科技行业风险报告 2025 Technology Industry Risk Report

Thecomplexityofrisk

TechnologyIndustryRiskReport2025

2Thecomplexityofrisk

Contents

1

2

3

4

5

Foreward

Adaptingtoanevolvingrisklandscape

Navigatinguncertaintyasriskscontinuetoevolve

PrevalentAIopensopportunities,amplifiesrisks

Interconnectedsystemsraisethecyberriskstakes

6

7

8

9

10

High-techpropertiesraiseaggregationconcerns

Seismicchangesincasualtyrisk

Safeguardingtechexecutivesinanincreasinglycomplexlandscape

Respondingtoachangingriskandinsurancelandscape

Additionaltrendingriskareas

GlobalTechnologyRiskReport2024

Foreword

Thetechnologysectorisnavigatinganincreasinglyintricaterisklandscapethatdemandsanuancedunderstandingand

innovativeapproachestomanagingrisks.ThethemeofMarsh’s2025technologyriskreport—Thecomplexityofrisk—reflectsthemultifacetednatureofthechallengeswefacetoday.Inaworldwhererisksemergeatanunprecedentedpace,intertwine,andevolveincomplexity,riskmanagersmustadapttoanewreality.

Ongoingglobaleconomicfluctuations,coupledwithgeopoliticaltensionsandsupplychaindisruptions,haveintensifiedtheneedforrobustcostmanagementandstrategicagilityacrossthetechnologyindustry.Additionally,therapidadvancementofartificialintelligence(AI)andotheremergingtechnologiesintroducesbothopportunitiesandvulnerabilities,further

complicatingtherisklandscape.Regulatorycompliancehasalsobecomemoreintricate,withevolvingstandardsandexpectationsthatrequireorganizationstobemoreproactiveandadaptivethaneverbefore.

Inthisdynamicenvironment,effectiveriskmanagementisnotjustanecessity;itisacornerstoneoforganizationalresilienceandstakeholdertrust.Theabilitytoanticipate,comprehend,andmitigaterisksisessentialfornavigatingthecomplexitiesoftoday’smarket.

Thisreportprovidesanoverviewoftheacceleratingchallengesandopportunitieswithinthetechindustry,basedonsurvey

responsessharedbyourclients.Ourfindingsillustrateinterconnectedsectorsatapivotalmoment,activelyseekinginnovativesolutionstoaddressthemultifacetedrisksthatthreatenstabilityandgrowth.

Asyouexplorethisyear’sreport,Iencourageyoutoreflectontheinsightspresentedandconsiderhowtheycanbeleveragedtoenhanceyourriskmanagementstrategiesandfostertrustwithkeystakeholders.

Together,let’stransformthesecomplexitiesintoopportunitiesforsustainablegrowthandresilienceinthefaceofuncertainty.

TomQuigley

Communications,Media&TechnologyPracticeLeader

4

complexity

ofrisk

The

2

Adaptingtoanevolvingrisklandscape

Inaneradefinedbyrapidtechnologicaladvancement,therisklandscapefortechcompaniesischangingatanunprecedentedpace.Organizationsmustadapttheirriskmanagementstrategiesandinsuranceprogramstoaddressthecomplexitiesanduncertaintiesarisingfrominterconnectedsystems,emergingtechnologies,andevolvingregulatoryenvironments.

Thistransformationistakingplaceagainstthebackdropofanincreasinglyfracturedgloballandscape,asoutlinedinthisyear’s

GlobalRisksReport

,producedbytheWorldEconomicForumwithstrategicsupportfromMarsh

McLennanandotherpartners.Escalatinggeopoliticalandgeoeconomictensionscouldsignificantlyinfluenceorganizations’decision-makingandgrowthstrategies.

Techcompaniesarealsograpplingwithinterconnectedchallenges,rangingfromnaturalcatastrophes

destroyingpropertiesanddisruptingsupplychains,topotentialliabilitieslinkedtoproductfailures,totheincreasingprevalenceofnuclearjuryverdicts.Further,thepaceoftechnologicalinnovationhasledtoan

expandeddefinitionofwhatconstitutesatechnologycompanyandtheproductsandservicestheyprovide(seeFigure1).Thiscreatessubstantialchallengesfortechcompaniesinunderstandingandmanagingtheiroff-strategyrisks.

01|Productsandservicesofferedbytechcompanies

30%

Enterprisesoftware

16%

16%15%

15%

SystemsintegrationandcustomITdevelopmentCommunicationsinfrastructure

ComponentsandintegratedhardwaresolutionsCommunicationsservices(wired,wireless,internet,orsatellite)

12%

10%

10%7%

7%

FintechorfinancialtechnologiesOther

MediacontentcreationEcommerce

5%

5%

1%

Governmentcontracting Healthtechordigitalhealth SearchandinformationservicesCapitalequipmentmanufacturing

051015202530

5

The

complexity

ofrisk

02|Majorityoftechcompaniescontinuetodevelopnewproductsandservices

77%

48%

44%

42%

21%

5%

Developing

newproducts

andservices

Sellingexisting

productsor

servicestobeused

innewways

Partneringwith

othertechnology

companies

Mergersor

acquisitions

Partneringwith

non-technology

companies

Wearenotdoing

anythingnew

ordifferent

Thischallengingrisklandscape,however,is

notstoppingtechcompaniesfromdevelopingtheproductsoftomorrow.Infact,themajorityofrespondentstothisyear’ssurveysaidtheyaredevelopingnewproductsandservices

(seeFigure2).

6

The

complexity

ofrisk

03|Innovationisatoppriorityfortechnologycompanies

41%

37%

33%

30%

19%

1%

Focusingon

stabilityand

resiliencedue

toeconomic

orcompetitive

pressures

Revaluatingor

refocusingour

portfolioof

products

orservices

Reinventing

ourbusinesstopursuenew

opportunities

Thefoundation

ofourcompany

iscontinuous

innovation

Expandinginto

newgeographic

markets

Investing

heavilyinnewtechnologies

Noneoftheabove

34%

Despitepotentialheadwinds,techcompanies

continuetofocusoninnovation(seeFigure3).

Whileathirdofrespondentstothisyear’ssurveysaidtheyareexpandinginnewgeographic

markets,anotherthirdisfocusedonbuildingstabilityandresilience,underscoringhow

economicandcompetitivepressurescould

challengethegrowthtrajectoryoftheindustry.

Astechnologypermeatesdailylife,therisksfortechnologycompaniesescalateandbecome

moreintricate.Coreoperationalrisks,suchas

technologyerrors,systemfailures,andbusinessinterruptions,remainprevalent,withcostsrisingforevenminorincidentsthatcanleadto

shortinterruptions.

Moreover,theinterconnectednatureof

technologymeansthatvulnerabilitiesinonearea,orimpactingonebusiness,canhave

far-reachingconsequences.Thepotentialforsystemicfailures,coupledwiththepotentialforblackswanevents,requiresrobustrisk

managementprotocolsandaninsuranceprogramabletorespondtoamultitudeofcomplexandwide-rangingchallenges.

7

ofrisk

The

complexity

Navigatinguncertaintyasriskscontinuetoevolve

Theemergenceofnewtechnologiesbringswithitahostofpotential

vulnerabilitiesandrisksthattechcompanies

mustnavigate.

Similartootheryears,digitaland

technologyrisksremainedthetop

concernsforoursurveyrespondents,withincreasedregulatoryscrutiny

addinganotherlayerofcomplexitytoriskmanagementfortechcompanies(seeFigure4).Organizationsmust

navigateaglobalmazeofregulations,whichcanvarysignificantlyby

3

jurisdiction,includingstricterdata

protectionlawsandcompliance

requirements.Failuretocomplywiththeseregulationscanresultinseverepenaltiesandreputationaldamage.

04|Digitalandregulatoryriskstoptechcompanies’immediateconcerns

79%

56%

52%

48%

45%

45%

40%

40%

40%

38%

37%

36%

33%

33%

28%

Datasecurityandprivacy

Regulatorycompliance

Technologyerrorsandomissions

Multinationalexposuresandcompliance

Reputationalrisk

Businessinterruptionfromdigital/technologyfailures

Generalsoftwareorsystemfailure

Artificialintelligencedesignfailure

Artificialintelligenceusageoroversighterror

Directorsandofficersliability

Intellectualpropertyinfringement

Intellectualpropertyprotection

Employeeretention

Product/platformliabilityorrecall

M&Arisk

Employeesafety

Businessinterruptionfromphysicaldamage

Medialiability

Employmentpracticesliability

Damagetoownedproperty

Autoorfleetliability

Employeefraud

Bodilyinjuryorpropertydamagetoother

Environmentalliability

55%

34%

49%

24%

20%

41%

33%

23%

20%

18%

18%

20%

16%

16%

9%

11%

9%

14%

5%

4%

17%

2%

14%

7%

Somewhatorveryhighconcern

Expecttheseriskstoincreasewithin3to5years

23%

19%

13%

13%

13%

11%

11%

9%

7%

“Astechcompaniesgrowtheir

globalfootprints,seniorleadersmustbepreparedtoadaptto

shiftinggeopoliticaldynamics,

whichcanaffecteverything

fromproductdevelopmentto

marketstrategy.Theinterplayofthesechangingdynamicscreatesacomplexriskenvironment

thatrequiresorganizationsto

adoptaholisticapproachtoriskmanagementtonavigateboth

currentandfutureuncertainties.

9Thecomplexityofrisk

Artificialintelligence(AI)isrevolutionizingtheway

organizationswork.ButmanytechcompaniesarenotmerelyusersofAI;theyareactivelydevelopingandcustomizingAIsolutionstoenhancetheiroperations,creatinganewrisklandscapewithevolving

challengesthatareexpectedtofurtheramplifyexistingvulnerabilities.

Yet,AI-relatedrisks(suchashumanoversighterror,systemdesignfailure,andothers)rankedatthebottomamongtechnologyrisksconsideredtobeofhighconcerninthisyear’ssurvey(seeFigure5).Atthesametime,respondentsexpectAI-relatedrisksto

becomemoreofaconcerninthenextthreetofiveyears.Thisshiftsuggeststhatseniorexecutivesarecurrentlyfocusedonotherpressingissues.ItisalsopossiblethatthelackofsignificantAI-relatedlossestodatehascreatedafalsesenseofsecurity,potentiallycontributingtoaninitialunderestimationofpotentialrisks,togetherwithanawarenessthatnewrisksarelikelytoemerge.

10

Thecomplexityofrisk

05|AIrisksamongthelesspressingcurrenttechnologyconcerns

Currently

Low

concern

Moderate

concern

High

concern

Artificialintelligencedesignfailure

37%

23%

40%

Artificialintelligenceusageoroversighterror

35%

25%

40%

Generalsoftwareorsystemfailure

33%

27%

40%

Businessinterruptionfromdigital/technologyfailures

19%

36%

45%

Technologyerrorsandomissions

23%

25%

52%

Datasecurityandprivacy

4%

17%

79%

11

Thecomplexityofrisk

Inthenextthreetofiveyears

Expectittobelessofaconcern

Nochange

Expectittobemoreofaconcern

Generalsoftwareorsystemfailure

0%

78%

20%

Businessinterruptionfromdigital/technologyfailures

7%

64%

23%

Technologyerrorsandomissions

4%

60%

33%

Datasecurityandprivacy

2%

50%

41%

Artificialintelligencedesignfailure

0%

49%

49%

Artificialintelligenceusageoroversighterror

2%

39%

55%

12Thecomplexityofrisk

Techcompaniesfacinguniqueliabilityrisks

Theabsenceofsignificantlossestodatedoesnotmeancompaniescanaffordtotemporarilyignorerisks,especiallyconsideringthefield’sfast-paceddevelopment.TheshiftfromtraditionaltechproductstoAI-drivensolutionsintroducesuniqueliabilityrisks.Forinstance,ifatechsystemthatusesAIfailstoperformasexpected,thedevelopermayfaceproductliabilityconcerns.

ThisisanincreasingconcernwiththeriseofhumanoidAI,whereerrors

cancontributetophysicalharmorpropertydamage.Forexample,the

malfunctionofahumanoidrobotoperatinginawarehousecouldleadto

casualtyandpropertyclaims,andalsoraisequestionsofwhoisliablefortheincident.Additionally,regulationssuchastheEuropeanUnion’s

Product

LiabilityDirective

definesoftwareandAIsystemsas“products,”extendingthescopeofproductliabilitylawtothesetechnologies.

Further,theriskofintellectualproperty(IP)infringementcanescalate

significantly.DevelopersmaynowbeheldaccountableforthecuratingofdatasetsusedtotrainAImodels.Ifthesystemthengeneratesoutputsthatcloselyresemblecopyrightedmaterial,thedevelopermaybeexposedtoIPinfringementclaims.TechcompaniesmustproactivelymanagetheirIPrisksthroughcarefullicensingagreements.

TheuseofAItoassistindecision-makingprocessesintroducesfurthercomplexities.Forexample,AItechnologiescanbeusedtointerpret

dataandinformcriticalbusinessdecisions.AIerrorscanleadtosevererepercussions,suchasinhealthcaresettingswhereAImodelsare

beingusedtorundifferentialdiagnoses.Suchscenariosunderscore

theimportancethatappropriatehumanoversightismaintainedtoreducetheriskofnegligenceclaimsarisingfromoverrelianceonAI-generatedoutputs.

AIadoptionrequiresarobustriskmitigationstrategy

Whetherdeveloping,deploying,orusingAItechnologies,embeddinga

strongriskmitigationstrategyisessential.Cross-functionalleadershipisrequired,includingacrosstechnology,business,humanresources,and

legal/complianceleaders.Riskmanagersarecentraltothisprocess,havingthecriticalroleofassessingandprovidingacomprehensiveviewofthe

diverse,enterprise-widerisksthatAIpresents.

AsAItechnologiesevolve,organizationsmustrecognizethatitcanamplifyexistingrisks.Forinstance,theuseofgenerativeAIcanleadtounintendedconsequences,suchasgeneratingmisleadinginformationorviolating

intellectualpropertyrights.Therefore,riskmanagersmustensurethat

theirinsuranceprogramsalignwiththeevolvinglandscapeofAIrisks,

includingassessingcoveragelimitsandexclusionsrelatedtoAIincidents.TheemergenceofagenticAIandhumanoidrobotsintroducesvaried

additionalchallengesthatorganizationsmustbepreparedtoaddress.AcriticalfirststepistotakestockofthetypesofAIbeingusedwithinthe

organizationandhowtheyareappliedacrossdifferentbusinessfunctions.

13Thecomplexityofrisk

Athree-prongedriskstrategy

AcomprehensiveAIriskframeworkshouldencompassthreekeyriskcontrols,eachofwhichplaysavitalroleinmitigatingrisksassociatedwithAItechnologies.

Technicalcontrols:Organizationsmustimplementrobust

cybersecuritycontrols

tosafeguardtheirAIsystems.Thisincludesensuringdataintegrity,securingalgorithms,andprotectingagainstadversarialattacks.RegularauditsandupdatestoAIsystemsareessentialtomaintainsecurity

andfunctionality.

Processcontrols:Establishingcleargovernancestructuresis

crucialforoverseeingAIinitiatives.Thisincludesboard-level

governanceandseniormanagementoversightovergenerativeAIusecasestohelpdefineacceptableusepolicies,conduct

vendorduediligence,andensurecompliancewithregulatoryrequirements.

Peoplecontrols:Organizationsmustfosteracultureof

awarenessandresponsibilityregardingAIusage.ThisincludeseducatingemployeeswhoaccessAItoolsontheethical

implicationsofAI,dataprivacyconcerns,andtheimportanceofadheringtoestablishedprotocols.ItisimportantforthemtolearnnottofallvictimtoAI-enabledsocialengineeringattacks.Insomecases,itmightbenecessarytoprovidespecialized

reskillingorupskilling.

AIriskmanagementisnotaone-timeexercise;itrequiresongoing

evaluationandadaptationtokeeppacewithcontinuedtechnologicaladvancements.Techcompaniesshouldnotwaitforasignificanteventtotriggerareassessmentoftheirriskstrategies.Instead,theyshouldadoptaniterativeapproach,regularlyreviewingandupdatingtheir

riskmanagementframeworksthroughouttheyeartoaccountfornewdevelopmentsinAI.

14

5

Thecomplexityofrisk

Interconnected

systemsraisethecyberriskstakes

Thecomplexityofinterconnectednetworks

andsolutions,togetherwiththeincreasing

prevalenceofcyberattacksandsophisticationofthreatactors,putscyber-relatedrisksatthetopoftechcompanies’concerns.

Notsurprisingly,almostfour-fifthsofrespondentstooursurveyrankeddatasecurityandprivacyasahighconcernrightnow,withalmosthalfofrespondentsexpectingtheseriskstoincreasewithinthenextthreetofiveyears(seeFigure7).

Therisksassociatedwithbothcyberthreatsandtechnologyerrorsandomissionsarebecomingincreasinglycomplex.

15

Thecomplexityofrisk

06|TechnologyanddigitalrisksrankashighconcernsHowdoyouviewthefollowingriskstoyourbusiness?

TechnologyordigitalrisksCurrently

Verylowconcern

Somewhatlowconcern

Moderateconcern

Somewhathighconcern

Veryhighconcern

Artificialintelligenceusageoroversighterror

13%

23%

25%

29%

10%

Artificialintelligencedesignfailure

13%

25%

23%

25%

15%

Generalsoftwareorsystemfailure

6%

27%

27%

19%

21%

Businessinterruptionfromdigital/technologyfailures

0%

19%

36%

21%

23%

Technologyerrorsandomissions

6%

17%

25%

21%

31%

Datasecurityandprivacy

2%

2%

17%

19%

60%

Thecomplexityofrisk

16

TechnologyordigitalrisksInthenext3-5years

Expectittobelessofaconcern

Nochange

Expectittobemoreofaconcern

Generalsoftwareorsystemfailure

0%

78%

20%

Businessinterruptionfromdigital/technologyfailures

7%

64%

23%

Technologyerrorsandomissions

4%

60%

33%

Datasecurityandprivacy

2%

50%

41%

Artificialintelligencedesignfailure

0%

49%

49%

Artificialintelligenceusageoroversighterror

2%

39%

55%

17Thecomplexityofrisk

Agrowingconcern,withlayersofcomplexity

Corecyberrisks—suchasdatabreaches,ransomwareattacks,andbusiness

interruption—remainattheforefrontofconcernsfortechcompaniesasthreats

andvulnerabilitiesincreaseinfrequency,sophistication,andcost.Theglobalaveragecostofadatabreachin2024was

US$4.88million

,a10%increaseover2023,that

underscorestheconcernsmanyorganizationshaveabouttheirabilitytoprotectsensitivedataandmaintainoperationalsystems.

Asorganizationsbecomemoreinterconnected,thepotentialincreasesforasingle

pointoffailuretotriggerwidespreaddisruptions,possiblyevenasystemicfailure.A

systemicfailure,inturn,canripplethroughbusinessesorendusers,raisingthestakesfortechcompaniesandinsurers.Theinterconnectednatureoftechnologymeansthatvulnerabilitiesinoneareacancompromisethelargernetwork,makingcomprehensivecyberriskmanagementessential.

Atthesametime,concernregardingblackswaneventshasbecomemorepronouncedinthetechindustryamidrecognitionthatevencompanieswithrobustcybersecuritymeasuresandcontingencyplansarenotimmunetotheirimpact,whetherdirectly

orindirectlythroughthirdparties.Theseevents—unpredictablebydefinition—candisruptoperations,leadtosignificantfinanciallosses,andfurthercomplicatethe

risklandscape.

Theevolvinglandscapeofprivacyrisk,withnewregulationsemergingandexisting

regulationsbecomingmorestringent,addsanotherlayerofcomplexity.Morethan

halfofsurveyrespondentsdescribedregulatorycomplianceasahighcurrentconcern,withonethirdexpectingittobemoreofaconcerninthenextthreetofiveyears(seeFigure7).

18

Thecomplexityofrisk

07|Regulatorycompliancetopsbusinessrisks

BusinessrisksCurrently

Verylowconcern

Somewhatlowconcern

Moderateconcern

Somewhathighconcern

Veryhighconcern

Regulatorycompliance

8%

2%

33%

38%

19%

Multinationalexposuresandcompliance

13%

11%

28%

30%

17%

Reputationalrisk

11%

11%

34%

28%

17%

Intellectualpropertyprotection

19%

19%

26%

19%

17%

Intellectualpropertyinfringement

15%

28%

20%

22%

15%

Directorsandofficersliability

17%

25%

21%

25%

13%

Product/platformliabilityorrecall

12%

33%

23%

21%

12%

Medialiability

29%

31%

27%

9%

4%

M&Arisk

23%

26%

23%

26%

2%

Thecomplexityofrisk

19

Businessrisks

Inthenext3-5years

Expectittobelessofaconcern

Nochange

Expectittobemoreofaconcern

Medialiability

0%

91%

9%

Intellectualpropertyinfringement

0%

84%

14%

Reputationalrisk

2%

82%

16%

M&Arisk

0%

80%

18%

Directorsandofficersliability

2%

77%

18%

Product/platformliabilityorrecall

0%

78%

20%

Multinationalexposuresandcompliance

0%

77%

20%

Intellectualpropertyprotection

0%

73%

24%

Regulatorycompliance

0%

66%

34%

20

Thecomplexityofrisk

Itisperhapsunsurprisingthatregulatorycompliancetopsthelistofbusinessconcernsfortechleaders.Stringentdataprotectionrules,suchasthe

EuropeanUnion’sGeneralDataProtectionRegulation(GDPR)andvarious

state-levelregulationsintheUS,meanthatorganizationsmustnownavigateacomplexwebofcompliancerequirements.Failuretoadheretotherelevantregulationscanresultinsignificantfinancialpenaltiesandreputational

damage.Astechcompanieshandleincreasingamountsofsensitivedataandusevariousformsofdigitaltrackingtechnologies,thepressuretocomplywiththeseregulationsintensifies,furthercomplicatingtheirriskprofiles.

INSURERSADAPTINGTOEVOLVINGCYBERRISKS

Thecyber/techE&Oinsurancemarketremainscompetitiveandstableevenwithevolvingrisktrends—especiallyfortechcompanies.Despiteinsurers’growing

concernofasystemicevent,capacityisavailable,withnewentrantscomingintothemarket.Insurersareincreasinglyexploringcatastrophe(CAT)bondsasawaytomanagesystemiccyberrisk,suchaswidespreadransomwareorcloudservicesoutages.Bytransferringtherisktocapitalmarkets,CATbondshaveprovided

additionalfinancialprotectiontohelpinsurersmaintainsolvencyandunderwritingcapacityinagrowingmarket.Thisreflectsacompetitivelandscapeandmaturingcyberinsuranceproductthatisadaptingtoanevolvingriskenvironment.

Insurerscontinuetofocusonimprovedcyberhygieneandcontrols.Thismeans

regularlyupdatingandtrainingemployeesoncybersecuritybestpractices,

conductingvulnerabilityassessments,focusingonincidentresponseplanning,andimplementingrobustsecuritymeasurestoreducethelikelihoodofincidentsandimproveoverallresilience.Insurersmayoffermorefavorabletermsandpricing

basedonyourexistingcyberhygieneandcommitmenttoimprovement.

Insurersalsocontinuetorequiredetailedinformationaboutacompany’s

cybersecuritycontrolsandpractices.Thisincludesafocusontheappropriate

implementationofexistingcontrolsandthepotentialforfutureclaimsbased

onemergingrisks.Fortechcompanies,thisalsoincludesanevaluationoftheir

productsandsolutions.Beyondpricing,techcompaniesshouldconsiderwhethertheirinsuranceprogramprovidesadequateprotectionagainstevolvingrisksandisinlinewiththeircurrentriskprofile.

Itiscrucialfororganizationstoensurethattheirinsurancepoliciesaretailored

totheirspecificneedsandevolvingexposures,ratherthanrelyingonone-size-fits-allsolutions.

21

6

Thecomplexityofrisk

High-techpropertiesincreaseaggregationconcerns

Techcompaniesareexpandingtheirphysicalfootprintstokeepupwithincreasingdemand,leadingtoescalatedpropertyandbusinessinterruptionrisksthatcould

impactoperations.

Forexample,amajorcatastrophicevent,suchasanearthquakeorseverestorm,could

damagehigh-techpropertiesanddestroythespecializedequipmentusedtomanufacturetechproducts,andalsodisruptsupplychains,leadingtoprolongedperiodsofdowntime.Justunderafifthofoursurveyrespondentsratedbusinessinterruptionduetophysical

damageasahighconcern(seeFigure8).

22

Thecomplexityofrisk

08|Businessinterruptionasignificantconcernfortechcompanies

OperationalrisksCurrently

Verylow

concern

Somewhatlow

concern

Moderate

concern

Somewhat

highconcern

Veryhigh

concern

Damagetoownedproperty

23%

33%

31%

10%

2%

Environmentalliability

40%

26%

28%

5%

2%

Businessinterruptionfromphysicaldamage

23%

31%

27%

15%

4%

Bodilyinjuryorpropertydamagetoother

21%

45%

26%

4%

4%

Autoorfleetliability

36%

27%

27%

7%

4%

Thecomplexityofrisk

23

OperationalrisksInthenext3-5years

Expectittobelessofaconcern

Nochange

Expectittobemoreofaconcern

Damagetoownedproperty

4%

91%

4%

Businessinterruptionfromphysicaldamage

2%

89%

7%

Autoorfleetliability

7%

84%

9%

Bodilyinjuryorpropertydamagetoother

0%

84%

14%

Environmentalliability

0%

83%

17%

24Thecomplexityofrisk

Geographicalconcentrationsamplifypropertyrisks

Theriskismorepronouncedduetoanaggregationofhigh-techfirmsinearthquake-proneregions,includingSiliconValleyandTaiwan.Thisgeographicconcentrationisapotentialaggregationriskforinsurerssinceasinglecatastrophiceventcouldlead

tosubstantiallossesacrossmultipleentities.Further,the

interdependencieswithinthetechsupplychain,withcompaniesheavilyreliantonothersfortheirproductionprocesses,

exacerbatethisissue.Adisruptionatonefacilitycanripple

throughthenetwork,impactingnumerouscompaniesandtheiroperations,potentiallyleadingtosignificantcontingentbusinessinterruptionlosses.

Allthisis