Aon Crisis Management
AURIMS 2008
Aon Crisis Management
Specialty unit of Aon
Experts in specialist areas.
Main areas of expertise
The practice group is a worldwide initiative.
Strategic risk management
Expertise
Risk Management Risk Transfer
Crisis management
Crisis consulting
Counter-terrorism
Country risk
Recall consulting
Insurance broking
Finance professionals
Bomb expertsRisk analysis
Protecting - People, Assets, Products & Contracts
Risks
Crime
Kidnap/Detention - travel risk
Extortion
Sabotage & Terrorism
Evacuation & Repatriation
Kidnap for Ransom - Where it happens
MexicoColombiaBrazil (Sao Paulo)HaitiIraqVenezuelaIndiaNigeriaBangladeshRussian FederationArgentinaPhilippines
Countries to watch: El Salvador, Guatemala, Yemen, Honduras, Malaysia, Spain, Georgia & the five ‘Stans’, Indonesia
Why at risk
Appearing Lost: unfamiliar territory
Perceived Wealth: worth the effort
Visibility: high profile
Publicity
Kidnap: the statistics
More than 30,000 kidnaps occur each year
70% of worldwide kidnaps are in Latin America, however with regards to foreign nationals, the number of kidnaps in Middle East and Africa outnumbered Latin America in recent years
Some 50% of kidnaps are resolved by ransom payment
Less than 10% of hostages are killed or die
The safest way to resolve a kidnap is by negotiation.
Source: CRG, January 2007
Kidnap: the statistics
Kidnap: the statistics
Kidnap: the statistics
Kidnap: the statistics
Kidnap: the statistics
Kidnap Outline
•Time increases risk and cost to kidnappers•Negotiation must show diminishing returns
Negotiation
Gathers information
Gives objective advice
Trains a communicator
Develops financial and negotiation strategy
Prepares the company to make the right decisions
Enables senior executives to manage the business
Response Consultant
Comprehensive Risk Management
Loss Avoidance Option
Risk Transfer Insurance
Preparedness Emergency Response Plan Crisis Management Plan Business Continuity Plan Counter-terrorism Risk Profiling
Preparation
Crisis Management Team
Corporate Communications
Personal profile forms – staff & students
Staff training
Responsibilities
Personal safety & security
Reduce travel risks by good planning and procedures
Safe Travel Planning
Arrival Procedures
Prudent Behavior During the Stay
Departure Procedures
Coping with Captivity
Safe travel
Balancing business with security
Planning the trip
Packing
Air travel
Arrival at destination
Moving around town
Departure procedures
Coping with captivity
Remain calm: captors will be nervous & jumpy
Follow instructions: Do not give cause to harm you
Be Respectful – but NOT subservient
Build human relations
Avoid political discussions
Behavior
Coping with captivity
Keeping alert & fit
Eat whenever food is offered
Exercise as much as possible
Invent ‘Mind Games’
Do not be worried by the ‘Stockholm Syndrome’
Crisis Communication
Reporting can make or break public loyalty
Emphasis that University is acting appropriately and effectively
Establish single spokesperson
Never lie and never “no comment”
Importance of internal communication
Summary
Less than 1% of kidnap victims are insured
Incidents involving expatriates invariably end in threatened litigation and out of court settlements
Kidnap, extortion and associated risks are now foreseeable events
All organisations sending people abroad should plan for the worst
The risk is increasing year on year.