The Allianz Global Corporate & Specialty Report released on Tuesday said companies will continue to benefit from a competitive directors’ and officers’ liability insurance market, but potential risks associated with artificial intelligence should be monitored.
New entrants to the market, combined with a lower number of initial public offerings, have provided a more favorable D&O market for companies, and “it appears likely that the market will remain competitive”, the report said.
The report warns that developments in GenAI are “exciting, but also carry potential risks”, including cybersecurity threats, increased regulatory risks, demands for greater corporate transparency, unrealistic investor expectations and threats over the responsible use of its technology. Are.
It said other potential risk trends include the outcome of the US banking crisis. Although the banking crisis appears to be over, “we are seeing banks with large commercial property portfolios,” some banks selling property loans at a discount, while Treasuries have their lowest cash balances since 2017, Which puts pressure on the banking system. ,
The report states that ESG claims are here to stay, with discussions on current issues in corporate management often linking discussion of ESG principles with corporate sustainability practices.
last years report Recession and other economic issues were cited as major concerns.
