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ARTICLE · 03 OCTOBER 2018

Political Risk, Reinsurance, And Where The Industry Is Moving

The global political and economic climate has shifted and the impact has been felt at the same scale.

CanadaStrategy

The global political and economic climate has shifted and the impact has been felt at the same scale. The United States 2016 Presidential election was one of the more relevant political risks facing businesses given the emphasis on trade tensions with emerging economies. In addition, long standing partners of the United States have also come under fire.

The trade tensions alone tensions have resulted in economic costs as well – the IMF estimates that the global economy will be decrease by 0.5% (approximately USD $430 billion) by 2020 if various tariffs remain intact. Tariffs and other sanctions have knock on effects that impact companies who are exposed to the risk of doing business in international contexts.

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