Protecting businessand securingopportunity
CREDIT, POLITICAL & SECURITY RISKS ANALYTICS &CONSULTANCY
CREDIT, POLITICAL & SECURITY RISKS CONSULTANCY
Political risks, security threats and considerable economic uncertainty
means that the business environment has rarely felt more volatile. We
have seen the emergence of new non-state actors in the Middle East
and Africa as part of the global expansion of extremist movements,
leaving the stability of many states in the balance. Global economic
growth remains tarnished by underlying debt, leading to erratic, fickle
policymaking that is difficult to plan for. The end of the commodities
supercycle means that many countries lacking true economic
diversification now face upheaval. With greater risk volatility there
is always significant business opportunity, however, investors must
continually challenge their perceptions of country and economic risk
if they are to secure opportunity.
Commercial success depends upon identifying and taking the right
risks. Yet in the context of increasing levels of political and economic
complexity, organisations are required to demonstrate that they
understand risk and are adequately protecting their people, assets,
data, contracts and brand.
Political risks, terrorism, cyber risks and kidnap for ransom can
generate direct impacts on people, assets and operations, and
have consequences for brand and reputation.
Recognising that brokers need to offer advice that extends beyond
which insurance product to buy, JLT Specialty built an in-house
consultancy team. We bring perspective to risk, helping our clients
gain clarity and secure opportunity.
Protecting business and securing opportunity
INTRODUCTION
We deliver a range of consulting services using our own robust
technology. With a focus on understanding risk, we have expertise
in quantifying and qualifying political risk, political violence, cyber risk,
kidnap and travel safety. Using ground-breaking modelling and rating
tools, our consultants help our clients anticipate, prevent, respond and
where necessary recover from a crisis.
OUR SERVICES
credit, political & security risks aNalytics & coNsultaNcy
Credit & Political Risks
Political Violence & Terrorism
Cyber Terrorism & Extortion
Kidnap, Ransom & Extortion
ANTICIPATE PREVENT RESPOND RECOVER
Country Risk Reports Political policies & proceduresWorld Risk Review®
Threat & risk studies Security policies & procedures
Probablemaximum loss
Cyberresilience
Sunstone™
Cyber Audit
Threat & risk studies
JLT Frontier
JLT Frontier
Executive resilience
Benchm
arking & thought leadership
Insurance Placem
ent
Crisis M
anagement P
lan
Crisis R
esponse
Claim
s & Investigations
Business C
ontinuity Managem
ent
JLT Talos
ANTICIPATE SERVICES
• Threat and risk studies to determine people, asset, contract
and brand exposures. Clients can use this service to analyse risks
to employees, risks of contractual agreement repudiation by a host
government and reputational risks following a range of incident
scenarios.
• Country risk reports and specific research to inform decision-
making. Using our country risk ratings tool, World Risk Review,
we can help clients better understand their exposure to a wide
range of risks by providing in depth qualitative, bespoke reports
that examines a client’s exposure across the trading, investment
and security environments, including expropriation, contractual risks,
currency risks, legal & regulatory risks and SRCC, war and terrorism.
• Probable maximum loss studies to underpin risk transfer across
a range of perils. Using our terrorism modelling tool, Sunstone™,
we can model PMLs for assets exposed to terrorism and SRCC.
Our terrorism modelling takes into account over 40 distinct attack
types, ranging from lone wolf attacks, through to large scale
chemical, biological, radiological and nuclear (CBRN) attacks.
Our studies can also examine aggravating/mitigating factors
and conduct consequence/likelihood analysis.
protecting business and securing opportunity
PREVENT SERVICES
• JLT Talos – our client portal with a range of technology solutions
and data, which is fully configurable.
• Strategic security consulting including organisational resilience
reviews. Companies may understand the financial and operational
impact of a security incident on their business, but may not know
how to mitigate the risks. We can conduct resilience reviews to
benchmark performance and to test assumptions about the level
of preparedness within the company.
• The development of crisis management capacity, both in
preparing plans and people. We can help our clients write and
disseminate comprehensive crisis management plans for a range
of crises, ranging from terrorist attacks, to hijacks, to missing
airplanes, and kidnaps. We can also help clients shape plans
around protecting their brand and reputation.
• Specific solutions for managing risks associated with senior
executives or high net worths (HNW). HNWs and senior
executives have unique risk profiles particularly in respect
of kidnap. We can help these individuals better understand
and manage the risks to themselves and their families.
• Safe travel management plans and design of solutions to meet
duty of care obligations.
credit, political & security risks aNalytics & coNsultaNcy
RESPOND SERVICES
CPS Consulting offer response consulting services at a strategic level
to support our clients in facilitating an understanding of third party
response consultants that will be working for the client at a purely
operational/field level. We work on retainer for a number of clients
on this basis.
We can advise clients on who would be the most appropriate security
consultancy team to utilise in the case of a kidnap, terrorist attack,
war and civil war scenario and a range of other incidents.
RECOVER SERVICES
• Post incident investigations and post incident crisis
management support. We can help our clients, post incident,
analyse their response to the crisis, and provide advice and develop
plans about how to mitigate and manage such risks in the future.
This support can also include working to rebuild brand and
reputation, in respect of how to manage public relations, and internal
communications to employees, stakeholders and customers.
As such, CPS Consulting are able to provide a strategic bridge across
all four columns of crisis management, with in depth support on
Anticipate, Prevent and Recovery.
protecting business and securing opportunity
JLT TALOS
JLT Talos is our client portal; providing a range of technology
solutions and data that can be configured to meet your needs.
Clients can select the modules they need to support their
business and manage a range of risks, including political risk,
political violence, terrorism, cyber, kidnap, and travel safety.
OUR TECHNOLOGIES
CREDIT, POLITICAL & SECURITY RISKS aNalytics & coNsultaNcy
THREAT & RISK ASSESSMENTS
MANAGEMENT DASHBOARDS & CLAIMS CASE FILES
INCIDENT & CRISIS MANAGEMENT
JLT FRONTIER
SUNSTONETM
WORLD RISK REVIEW®
THREAT & RISK ASSESSMENTS
Clients can use JLT Talos to upload and manage threat and risk
assessments for assets across the portfolio. Each asset can be mapped
with a separate risk register ‘profile page’ which features asset specific
risk profiles and ratings, as configured by the client, the ability to run
incident monitoring, and provides a document repository for the client
or external vendor risk assessments, and insurance documentation.
Protecting business and securing opportunity
MANAGEMENT DASHBOARDS & CLAIMS CASE FILES
A high level dashboard can be configured to give management an
instant view of the company’s risk profile and the latest incidents
uploaded by their personnel either in-country, or at headquarters.
This provides ‘one version of the truth’ for users. All of the features
from JLT Talos are ready for exporting to PDF, to build claims case files
should the client wish to submit a claim.
credit, political & security risks aNalytics & coNsultaNcy
INCIDENT & CRISIS MANAGEMENT
Clients can use JLT Talos to alert employees both up and down
communication cascades from C-Suite to local teams, or vice versa.
Clients can also use the system’s communications logging tool to
keep all relevant decision-makers informed and restrict access where
appropriate. User groups can be set up in advance to restrict access
where appropriate, and crucially, users do not need to be logged
in to JLT Talos to receive the system’s email and SMS alerts, or to
‘reply’ back to the system. JLT can help migrate your existing Crisis
Management plans onto JLT Talos, to create clear crisis workflows
before an incident occurs.
protecting business and securing opportunity
JLT FRONTIER
JLT Frontier allows clients to better understand global safe travel by
providing up-to-the-minute country risk feeds and travel risk information
for 250 countries and territories.
Advanced levels of subscription are designed to allow clients to manage
their travelling employees’ exposure to risk. The system allows those
with responsibility for personnel safety to track when and where each
employee or contractor is travelling and alerts both the organisation and
the traveller when there is a change in that country’s risk environment.
Alerts are provided covering security, health, transportation,
communications and environment risks and advice on how
to stay safe in respect of kidnapping and crime risks.
credit, political & security risks aNalytics & coNsultaNcy
SUNSTONETM
Designed and developed by JLT, insurance industry and terrorism
experts, Sunstone™ narrows the gap between the perception of
terrorism risk and reality and sets a new standard in terrorism modelling.
In response to the evolving nature of terrorism, Sunstone™ uses an
unparalleled spectrum of attack types, historical incidents and target
data to identify and quantify accumulation, concentration and portfolio
risk with unprecedented granularity and allows clients to visualise their
exposure. In turn, this enables them to identify and secure commercial
opportunity.
protecting business and securing opportunity
WORLD RISK REVIEW®
World Risk Review is a country risk ratings tool that provides risk ratings
across 9 different perils for 198 countries. We developed World Risk
Review in 2007 to meet client demands for a more comprehensive
country risk assessment tool.
At the heart of the tool are our ratings; generated by a proprietary,
algorithm-based modelling system incorporating 60 sources of data.
Our clients use these ratings, and our country analysis, to benchmark
risk across a portfolio. The ratings and the supporting analysis deliver,
quickly and easily, an understanding of political risk in any given country.
CREDIT, POLITICAL & SECURITY RISKS aNalytics & coNsultaNcy
For a number of years, the global telecommunications (telecoms) industry has recognised the importanceof emerging markets as an area representing some of the greatest growth opportunities – particularly asrevenue from developed telecoms markets in North America and Western Europe begins to plateau.
RISK FOCUSThe telecoms opportunity in Sub Saharan Africa
CREDIT, POLITICAL & SECURITY RISK BULLETIN APRIL 2015
Telecoms is a growth industry in most
emerging markets, but the opportunity
in sub-Saharan Africa over the next five
years will continue to be of particular
interest to investors. Firstly, booming
population growth and increased levels
of urbanisation will deliver a growing
consumer base, secondly, as sub-
Saharan Africa further embraces data
services there is wider scope for per user
revenue to increase as consumers switch
from 2G voice services to more costly
data options, and thirdly, governments
across sub-Saharan Africa are
increasingly supportive of telecoms
innovation for a plethora of new services
and media offerings – particularly
advancements in the mobile financial
services space.
Inevitably with this scale of opportunity
comes a level of risk; both from an
industry and a country risks perspective.
Those telecoms companies that can
evolve their strategies accordingly will
be set to retain, or improve their market
share, in their territories of operation.
The market leaders will be those that
transition to offering a full suite of data
services above purely 2G voice and
messaging services, and those that shed
assets in a bid to reduce costs and to
free up funds to divert towards product
ARGENTINARISK REPORTCredit, Political and Security Risk June 2015
Protecting business and securing opportunity
OUR EXPERIENCE
CREDIT, POLITICAL & SECURITY RISKS aNalytics & coNsultaNcy
TERRORISM LONDONA major financial institution wanted to understand
their exposure to terrorism at their UK trading
operation. We produced a probable maximum
loss (PML) study determining property damage,
business interruption and employee exposures
to a range of scenarios. The PML was used
to inform purchasing limits on their risk transfer.
SAFE TRAVEL NEW YORKAn international TV News organisation wanted
to improve the way they managed stories in
hostile environments. We visited their high-risk
operations to understand their specific needs
and then rewrote their global travel and crisis
management policies and procedures. We
then delivered crisis management rehearsals
for their global and regional leadership teams.
Protecting business and securing opportunity
KIDNAP FOR RANSOM AFRICAAn African focused investment operation wanted
to review their exposure to kidnap for ransom risks.
We conducted a rapid analysis of their operations
and then worked with the risk and security
departments to refine their corporate governance
arrangements. We then ran a tender process to
allow the client to select an appropriate third party
response consultant.
POLITICAL RISKS AUSTRALIAA regional construction company was seeking
a more sophisticated way to consider investment
and operational risks across South East Asia.
We produced a model for the client to use
internally that weighs investment decisions
based on a range of risk factors. We keep
this model updated with contemporary data
on behalf of the client.
CONFIDENTIALITY We understand that choosing a consultant to work
with on issues that are sensitive, with potentially
catastrophic impacts, is an important decision.
Maintaining client confidentiality is critical to the
maintenance of our reputation and we take this
extremely seriously. We have specific measures
to protect the identity of the clients we work with
and always determine who within your organisation
you are happy for us to communicate with.
IF YOU HAVE AN URGENTPROBLEM Please contact one of our specialists immediately
and we will assist.†
Depending on the nature of your relationship
with JLT we may need to promptly establish
a confidentiality and non-disclosure agreement.
We may also need to conduct some rapid
background checks and sign a short agreement to
ensure that we are able to provide you with advice.
† We are not primarily established as a crisis response practice,but we are often able to assist in connecting you with anappropriate third party who will be able to help if this is your requirement.
WHAT HAPPENS NEXT?
OURCONSULTANCYBENEFITS
The ability to
demonstrate robust
corporate governance
meeting ‘duty of care’
responsibilities
Improve resilience to
low probability/high
consequence events
Increase confidence
in managing and
responding to
complex risks
JLT Specialty LimitedThe St Botolph Building138 HoundsditchLondon EC3A 7AW
www.jltspecialty.com
Lloyd’s Broker. Authorised and regulated by the FinancialConduct Authority. A member of the Jardine Lloyd ThompsonGroup. Registered Office: The St Botolph Building, 138 Houndsditch, London EC3A 7AW. Registered in England No. 01536540. VAT No. 244 2321 96.
© October 2015 269612
CONTACT
CHRIS HOLT MBEPartner, Head of CPS Consulting
+44 207 886 5423
To find out more about the teamgo to www.jlt-talos.com