What countries have the highest terrorism risk?

Aon's Terrorism and Political Violence Map highlights risk to global business growth

Businesses looking to expand need to be aware of global terrorism risks, says a new report from Aon Risk Solutions.

Aon’s 2013 Terrorism and Political Violence Map found that 44% of countries measured have an identifiable risk of terrorist attacks.

“Terrorism is having an increasing impact on today’s global organizations and terrorist attacks are now regarded as a foreseeable risk,” said Neil Henderson, head of Aon Risk Solutions’ crisis management terrorism team, in a press release.

Read: Demand for terrorism coverage still strong 

“An attack not only on, but near an organisation’s premises can result in human casualties, property damage, business interruption, legal liability issues and long term damage to brand and reputation.”

The map measures political violence and terrorism in 200 countries and territories to help companies assess the risk levels of exchange transfer, political violence and terrorism.

The map measured three perils most likely to be encountered by businesses:

  • Terrorism and sabotage
  • Strikes, riots, civil commotion and malicious damage to property
  • Insurrection, revolution, rebellion, mutiny, coup d’état, war and civil war.

“The global economic crisis, shifting geopolitical balances and two years of unusually high levels of civil upheaval present challenges and opportunities for businesses looking to expand. North and West Africa and the Middle East stand out as regions of increasing risk. Civil wars in Libya and Syria in particular have contributed to violent risks in nearby countries. Egypt returns to the highest risk rating this year due to persistent civil tumult, political instability and terrorism,” said Henry Wilkinson, head of the intelligence and analysis practice at Risk Advisory.

Read: Evolving terrorism risks and coverages

It isn’t all bad news, however, as the report found that 19 countries showed improved terrorism and political violence ratings, including the U.K. and Germany.

“While Northern Europe has seen some improvements, evident in the U.K.’s improved rating, fiscal and economic pressures mean businesses in Southern European countries still face a higher level of risk associated with civil disruption,” added Wilkinson.

Data Highlights:

  • 11 upgrades (increased risk ratings), including Argentina, Egypt and Jordan.
  • 19 downgrades (decreased risk ratings), including Germany, Italy and the UK.
  • 44% of countries measured have an identifiable threat of terrorism, with the worst affected being Afghanistan, India, Iraq, Nigeria, Pakistan, Russia, Somalia, Syria, Thailand and the Yemen.
  • Europe has the most positive regional outlook, with 47% of the countries with lowered risk ratings this year. This reflects receding civil unrest associated with the financial and economic crises. Limited incidents of terrorism outside of Greece and Northern Ireland also accounted for lowered risk scores.
  • Lingering after-effects of the Arab Spring on regional security and stability remain evident. The Middle East is the most unstable region, with 64% of its countries attaining high or severe risk ratings, reflecting terrorism, unrest and conflict risks.
  • The Middle East and North Africa region witnessed the highest proportion of countries with a terrorism and sabotage peril, at 85%.

The map can be accessed at http://www.aon.com/terrorismmap

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Transcontinental Media G.P.