“One thing that’s remained consistent is cyber criminals continue to target a business’ weakest link – their employees”

James Gabriel, Allianz Commercial

“Market volatility often leads to fluctuations in asset values and heightened uncertainty, prompting insurers to adopt more conservative underwriting practices to mitigate potential losses”

Priscilla Pazmino-Vitela, Allianz Commercial

“There’s a lot to navigate from the side of the client as well as the brokers and representatives. For insurers, this creates uncertainty”

Gillian McKenzie, Allianz Commercial

“We’re seeing events become more unpredictable; they’re becoming more severe and more frequent”

Megan Sullivan, Allianz Commercial

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‘Not a matter of if, but when’

Allianz Risk Barometer 2025 reveals biggest threats to businesses

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Priscilla Pazmino-Vitela

Allianz Commercial

Gillian McKenzie

Allianz Commercial

Megan Sullivan

Allianz Commercial

James Gabriel

Allianz Commercial

Industry experts

MOUNTING CYBER threats and natural disasters are officially two of the biggest threats to global organizations, according to the 2025 Allianz Risk Barometer. The report, which details the most important corporate concerns and is now in its 14th year, reflects the perspectives of over 3,700 industry professionals from 106 countries across 24 industry sectors. In an exclusive roundtable, Insurance Business was joined by an expert panel from Allianz Commercial comprised of Amadou Njie, head of client engagement; Megan Sullivan, regional property leader – west zone; Gillian McKenzie, regional liability leader – east zone; James Gabriel, underwriting specialist – cyber, tech, media & PL; and Priscilla PazminoVitela, regional head of natural resources – the Americas. We came together to discuss the report’s findings, glean advice for businesses going forward, and look into how to futureproof your operations against the biggest threats coming down the line this year.

“The Allianz Risk Barometer is a powerful tool for brokers looking to stay competitive and proactively support their clients,” explained Pazmino-Vitela. “It offers valuable insights into emerging risk and market trends and can significantly impact business across various sectors. It shines a light on industry issues and concerns that may not be immediately obvious to all customers.” As Pazmino-Vitela told IB, the Allianz Risk Barometer is a core tool for both insurers and brokers who want to address potential blind spots for customers. It helps to deliver solutions and address all risk requirements in an efficient manner with a proactive approach aimed at meeting current needs. And, while the Allianz Risk Barometer pinpointed 10 overarching corporate concerns in 2025, the biggest by far was found to be cyber threats. Thirty-eight percent of the 3,778 risk management experts interviewed cited cyber incidents as the most important risk, with the risk impact of new technologies now a new entrant in the top 10 global risks.

Allianz Commercial is a leading provider of comprehensive insurance solutions tailored for businesses of all sizes. With a strong global presence, Allianz Commercial offers a wide range of products, including property, liability, marine, and specialty insurance. Known for its financial strength and stability, Allianz Commercial is committed to delivering innovative risk management solutions and exceptional customer service. The company leverages technology and industry expertise to help businesses navigate complex risks and achieve their strategic goals. Allianz Commercial’s dedicated team of professionals works closely with clients to understand their unique needs and provide customized insurance solutions that ensure long-term success.

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With 20 years of experience in the commercial insurance sector, Priscilla Pazmino-Vitela specializes in underwriting and managing complex insurance programs across diverse industries, including energy, retail, construction, and technology. Her passion lies in developing tailored solutions that meet client needs and exceed expectations.

Allianz Commercial

Priscilla Pazmino-Vitela

A highly experienced executive underwriter, Gillian McKenzie began her career as a special accounts underwriter before rising to Allianz’s regional national accounts leader. McKenzie has a BBA in human resources management from Baruch College.

Allianz Commercial

Gillian McKenzie

With a BS and BA in business administration and political science, Megan Sullivan began her career as an associate property underwriter before making her way up to regional property leader at Allianz.

Allianz Commercial

Megan Sullivan

With a strong work ethic and entrepreneurial spirit, James Gabriel has a BBA in finance & information technology from Pace University – Lubin School of Business. Having begun his career as a finance intern at National Securities Corporation, Gabriel is now underwriting specialist – cyber, tech, media & professional liability.

Allianz Commercial

James Gabriel

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Fighting for the customer

The customer owned a bank saw a huge boost after the Hayne Royal Commission. One year on and their market share is growing as customer continue to see their value.

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Christopher Lee

MFAA head credit adviser, Finsure Finance and Insurance

Stewart Saunders

Heritage Bank

Darren McLeod

Beyond Bank

Fernando Lemos

Bank Australia

Industry experts

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Bank Australia

Fernando Lemos

Beyond Bank

Darren McLeod

Heritage Bank

Stewart Saunders

MFAA head credit adviser, Finsure Finance and Insurance

Christopher Lee

In Partnership with

Fighting for the customer

The customer owned a bank saw a huge boost after the Hayne Royal Commission. One year on and their market share is growing as customer continue to see their value.

Read on

Christopher Lee

MFAA head credit adviser, Finsure Finance and Insurance

Stewart Saunders

Heritage Bank

Darren McLeod

Beyond Bank

Fernando Lemos

Bank Australia

Industry experts

Beyond Bank

Darren McLeod

Heritage Bank

Stewart Saunders

MFAA head credit adviser, Finsure Finance and Insurance

Christopher Lee

Bank Australia

Fernando Lemos

Cyberattacks named the biggest threat to global business

Published Apr 21, 2025

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“Businesses continue to fear data breaches most, despite ransomware driving the majority of losses across the industry,” added Gabriel. “It seems that the ‘threat actors’ have caught on to this as we’ve seen an uptick in the number of double extortion ransomware attacks – where the cyber criminals are not only encrypting the company’s data but stealing it and threatening to publish it online. [This] gives them additional leverage over the business, forcing some to pay up.”

Gabriel explained that the best way for brokers to frame these risks is by letting their clients know that it’s not a matter of if they get breached, but when. Allianz Commercial data found that just 10 years ago, cyber risk ranked at #8 in the top 10 threats globally, sitting at 12 percent, compared to 38 percent in 2025. As Gabriel pointed out, ransomware attacks are causing the most disruption – accounting for 58 percent of the value of large cyber claims in the first six months of 2024. “The cyber threat landscape is changing daily, but the one thing that’s remained consistent is cyber criminals continue to target a business’ weakest link – their employees,” warned Gabriel. He told IB there’s no silver bullet for safety here, and it’s unlikely that one will appear down the line. Instead, it’s about employee awareness and education. “Having well-tested recovery plans in place and strong vendor management controls are the best ways to further enhance security programs,” he explained. “Allianz Commercial customers can take advantage of the expertise of our in-house cyber risk engineers, in addition to our full suite of pre- and post-breach vendors that we recently relaunched.”

The ever-evolving regulatory landscape around cyber means that liability insurance is becoming an increasingly complex area. Issues such as environmental liabilities, social inflation, and legal exposures and risks are also becoming more and more diverse – and it’s having a knock-on effect when it comes to capacity and pricing. “There’s a lot to navigate from the side of the client as well as the brokers and representatives,” said McKenzie. “For insurers, this creates uncertainty – and when there is uncertainty insurers will likely look to reduce capacity, increase pricing, and require higher deductibles from their

Role of education in liability changes

insureds. Clients who fare best in this type of environment are those who can demonstrate solid risk management controls and processes that provide a comfort level to the insurer that this business risk is well managed. These clients are likely to be treated more favorably than clients who are highly exposed.” Again, the key to success here lies in education. McKenzie told IB that brokers need to be at the forefront of these changes so that they can properly brief their clients and rid themselves of any unwanted surprises. The best place to start is by ensuring the broker understands if there are any specific changes to the client’s risk profile, this could instigate new requirements in terms of reporting. “I believe that knowledge sharing, constant communication, and a culture of learning, in addition to the use of technology to stay abreast of current rules and regulations and to take a look to the horizon of what may potentially come up, are all very good tools to help a client prepare for these changes.”

Setting aside threats from the online world, issues in the physical world are also hampering business operations. Over the past 12 months, natural disasters have plagued North America, with insured losses surpassing the $100 billion mark. Reports from Swiss Re found that in 2024 alone, total economic losses from natural catastrophes mounted to $310 billion – with weather and climate events accounting for 95 percent of that figure. “We continue to see record-breaking years when it comes to natural catastrophe losses,” explained Sullivan. “We’re seeing events become more unpredictable; they’re becoming more severe and more frequent.” To face these challenges head on, Sullivan revealed that at Allianz Commercial they’re adapting their underwriting practices to account for this climate volatility – starting with using the latest CAP modelling systems.

Natural disaster concerns continue to grow

“We’re upgrading to RMS 23, as are much of our peers, which has had the most significant update to their North American Hurricane Model in over a decade,” added Sullivan. “We’ll certainly see this impact loss estimates and pricing for storm risks in southeast of the US.” From there, Sullivan revealed they’re helping their underwriters to adopt a portfolio management mentality, ensuring they understand how an account will impact overall accumulations. “CAT capacity is no longer an infinite resource,” she told IB. “Reinsurance attachments have increased so these catastrophic losses remain within the insurer’s net retention. Therefore, we have to be cautious about how we’re deploying our capacity. We also have to recognize the major impact that secondary perils have on our industry. Losses, convective storms, wildfires, winter storms – these aren’t easy perils to model or predict.”

In order to strengthen any insured properties at risk of being impacted by a natural disaster, climate change adaption is key. Given the increasing severity and frequency of catastrophic losses, beyond reducing the risk of physical damage, resilient properties help mitigate business interruption – another top business risk concern for Allianz Commercial’s clients in North America. “Having a resilient property enables faster recovery and minimizes downtime,” said Sullivan. “Additionally, resilient properties benefit the communities in which our clients operate. It minimizes widespread disruption and helps strengthen local economies. These investments benefit all of us, so we really need to be thinking about it together through

Climate change adaption as a loss-prevention tool

to the government level, with incentives and policy – [as well as] working with partners like Allianz Risk Consulting, which can help you assess your properties and come up with best practices.”

In the dynamic landscape of the natural resources sector, market volatility and geopolitical tensions are increasingly influencing underwriting capacity and risk transfer options. “These challenges can significantly impact insurers’ ability to provide coverage in this segment,” explained Pazmino-Vitela. “Market volatility often leads to fluctuations in asset values and heightened uncertainty, prompting insurers to adopt more conservative underwriting practices to mitigate potential losses. Additionally, geopolitical tensions introduce further complexities by adding risks such as supply chain disruptions or regulatory changes, which can affect the availability and pricing of insurance products. “As the energy sector transforms, with renewable capacity projected to grow 2.7 times by 2030 and $2 trillion having been invested in clean energy technologies in 2024 alone, Allianz aims to enhance our clients’ resilience against climate-related changes, market volatility, and geopolitical uncertainties, with tailored solutions. Allianz offers comprehensive risk assessments, expert advisory services, and innovative risk transfer solutions, combining traditional and alternative products, to provide flexible and secure insurance coverage – while our global network ensures effective navigation of geopolitical and market-related challenges.”

Impact of market volatility and geopolitical tensions on underwriting capacity

It’s clear that navigating today’s risk landscape is more complex than ever. Allianz Commercial is committed to not only identifying these risks but also equipping their clients and partners with the tools and expertise needed to stay resilient. And, in today’s complex and unpredictable market, it’s a support that’s very much needed. “Allianz Commercial has many tools at their disposal,” said McKenzie. “We’re one of the largest insurance companies financially strong through broker engagement – we can work with our brokers to get a good idea about what’s important to their clients… Overall, through our broker engagement, we expose all of the tools that we have to our brokers, who are then equipped to recommend Allianz Commercial to their clients – because we will likely have the solution that they need.” To learn more about the Allianz Risk Barometer and how Allianz can support your clients in addressing these top risk concerns, click here: https://explore.aic-allianz.com/allianz-risk-barometer-2025.

Allianz Commercial as a strategic partner in risk management

The top 10 global business risks for 2025

Source: 2025 Allianz Risk Barometer

Cyber incidents

Business interruption

Natural catastrophes

Climate change

Changes in legislation and regulation

Fire, explosion

Macroeconomic developments

Market developments

New technologies

Political risks and violence

Cyber incidents ‘biggest threat to business’ in 2025

Source: 2025 Allianz Risk Barometer

38% of respondents rank cyber incidents such as ransomware attacks as #1 threat

10 years ago, cyber risk ranked at just #8 globally – with 12% of responses

Ransomware is the top cause of cyber insurance loss – accounting for 58% of the value of large cyber claims in 2024