Ferma condemns War in Ukraine

The Federation of the European Risk Management Association (Ferma) has released a statement saying it strongly condemns the invasion by Russia of Ukraine and says its support and sympathy are with the Ukrainian people.

In light of the extensive sanctions imposed on Russian organisations and individuals, the board of FERMA has suspended the membership of its Russian member, RUSRISK, in FERMA.

The President of FERMA, Dirk Wegener, said: “The Board concluded that this decision was in the best interest of FERMA in the current circumstances.”

Wegener added that European risk managers are busy helping to maintain the continuity of their organisations, rolling out crisis management and business continuity plans in close cooperation with other functions and departments.

“The entire organisation is affected, including employees, supply chains, IT systems and insurance programmes. The experience of dealing with the Covid-19 showed how important risk and crisis management are to our resilience against disruptive events.”

FERMA is putting its risk and crisis management expertise and resources at the disposal of the EU institutions and EU member states to face the crisis and prepare for future challenges.

Political risks underinsured

The European risk management association’s sentiments were echoed by German risk and insurance association GVNW.

In a statement to StrategicRISK, the association’s managing director Stefan Rosenowski said GVNW was “deeply concerned about the current armed conflict and stand behind the sovereignty and freedom of Ukraine and its people”.

“Some of our members have locations in Ukraine and fear for the safety of their employees, but also for possible damages caused by acts of war.

”Others are active in Russia and currently have to reconsider their business activities there due to the sanctions applied. There is also the topic of possible confiscations and the loss of assets and investments made.”

”Many risk and insurance managers are asked about possible insurance cover,” added Rosenowski. “Unfortunately, many of the risks at stake cannot be compensated by insurance. We support our members in these discussions.”