Willis Towers Watson Survey Finds 61% of Firms Cite Tariffs as Hardest Risk
In a Political Risk Survey of 57 companies, Willis Towers Watson found that 61% of respondents rated tariffs as the hardest political risk to manage and reported negative financial impacts. For the third year, geopolitical insurable losses topped $250 million, driving increased demand for political risk and trade credit insurance.
1. Tariffs Top Political Risk
In a survey of 57 firms, 61% of respondents identified rising tariffs as the most difficult political risk to manage and reported experiencing negative financial impacts from trade measures.
2. Insurable Losses Exceed $250 Million
For the third year running, companies reported geopolitical and trade credit insurance losses totaling more than $250 million, prompting firms to seek greater coverage for political risk exposures.
3. Firms Prepare for Geopolitical Fragmentation
Eighty-four percent of participants are preparing for or considering structural independence between Eastern and Western business operations, while 39% cited increased risk from home government policy choices.
4. Gray-Zone Aggression Concerns
Sixty-one percent of firms ranked economic coercion, sanctions or tariffs as the top gray-zone threat, and 65% flagged infrastructure attacks such as pipeline or undersea cable disruptions as major concerns.