“The dramatic rise of trade and geopolitical risk highlights a new reality: volatility and uncertainty are now constants for organizations. From evolving tariffs to shifting alliances, these forces directly impact organizations’ balance sheets. Building resilience through analytics and scenario planning is essential for navigating this environment.” said Joe Peiser, CEO of Commercial Risk for Aon
DUBLIN: Aon plc today released the 2025 edition of its Global Risk Management Survey, which has tracked the most-pressing risks for business decision-makers for nearly two decades. The findings reveal a sharp rise in risks associated with geopolitical volatility and a broader shift in how organizations perceive and prioritize risk.
“The dramatic rise of trade and geopolitical risk highlights a new reality: volatility and uncertainty are now constants for organizations. From evolving tariffs to shifting alliances, these forces directly impact organizations’ balance sheets. Building resilience through analytics and scenario planning is essential for navigating this environment,”said Joe Peiser, CEO of Commercial Risk for Aon.
2025 Top Ten Global Risks
Cyber Attack or Data Breach
Business Interruption
Economic Slowdown or Slow Recovery
Regulatory or Legislative Changes
Increasing Competition
Commodity Price Risk or Scarcity of Materials
Supply Chain or Distribution Failure
Damage to Reputation or Brand
Geopolitical Volatility
Cash Flow or Liquidity Risk
Cyber Risk and AI’s Influence: Persistent, Pervasive and Evolving
“Cyber Attack or Data Breach” remains the number one current and future risk according to the survey respondents, as the rapid adoption of digital platforms and AI technologies has expanded the attack surface for threat actors. With AI-enhanced cyber incidents on the rise, business leaders are shifting from reactive postures to proactive risk management strategies.
“The scale and complexity of cyber risk today is unlike anything we’ve seen before,” said Brent Rieth, Global Cyber Leader for Aon. “Our clients are increasingly using AI both defensively and offensively, to enhance resilience and unlock growth. The key is embedding cyber into board-level strategy, investing in quantification and viewing resilience as a competitive differentiator.”
Despite its top ranking, only 13 percent of respondents say they have quantified their cyber exposure. This gap between awareness and action is contributing to significant underinsurance, exposing businesses to financial and reputational loss. The report emphasizes the need for structured AI risk governance and integrated cyber resilience frameworks to reduce this gap.
Troubling Trend: Workforce Risks Drop from Top Rankings
In 2023, “Failure to Attract and Retain Top Talent” ranked fourth globally on Aon’s survey, highlighting Human Capital as a critical business risk. This year, workforce risks dropped out of the top ten, despite ongoing talent shortages and rising healthcare costs.
“It’s alarming to see workforce risks slip down the rankings when Human Capital challenges remain deeply connected to every aspect of business resilience,” said Lisa Stevens, Chief Administrative Officer for Aon. “When you look at the top ten risks in this year’s survey – cyber threats, supply chain disruptions, geopolitical volatility – they all have a direct impact on the workforce. Treating these risks as isolated issues creates blind spots for organizations.”
Stevens continued, “As AI transforms how and where people work, Human Capital strategies become even more critical. Leaders need to invest in analytics, personalization and skills development to keep their workforce agile and resilient in the face of rapid change and increasing volatility.”
Future Risks Reflect the Growing Influence of Interconnected Megatrends
Aon’s 2025 survey also provides a forward-looking perspective on the risks business leaders expect to be most critical by 2028. Cyber risk remains the top concern for the future, while AI and climate change join the top ten, reflecting the accelerating impact of technology and extreme weather on global business.
Climate change climbs to number nine on the future risk list, underscoring heightened awareness of its threat to financial and operational stability. With 2024 marking the hottest year on record and global insured catastrophe losses exceeding $145 billion, leaders are increasingly treating climate as a systemic business risk.
Top 10 Future Risks by 2028
Cyber Attack or Data Breach
Economic Slowdown or Slow Recovery
Increasing Competition
Commodity Price Risk or Scarcity of Materials
Geopolitical Volatility
Regulatory or Legislative Changes
Business Interruption
Artificial Intelligence
Climate Change
Cash Flow or Liquidity Risk
“What’s striking about this year’s future risk rankings is how quickly new forces like AI and climate move to the forefront,” said Richard Waterer, Global Risk Consulting Leader for Aon.
“These risks don’t just add complexity; they fundamentally change how organizations need to think about resilience. The convergence of technology, geopolitics and environmental pressures means leaders must anticipate how these megatrends interact and build strategies that are flexible enough to adapt to whatever comes next.”
Based on responses from nearly 3,000 risk managers, C-suite leaders and executives in 63 countries, geopolitical volatility surged 12 places since the last survey in 2023, breaking into the top ten global risks for the first time in the survey’s 19-year history. The rise of risks related to trade and geopolitical challenges reflects growing instability across regions, with implications for supply chains, regulatory environments and financial performance.
Despite rising volatility, most organizations remain underprepared: only 14 percent of respondents track their exposure to the top ten risks and only 19 percent use analytics to evaluate the value of their insurance programs. These findings underscore the urgent need for organizations to rethink their approach to risk, moving from reactive measures to proactive, integrated strategies.