A recent survey by Willis, a WTW business, in collaboration with Clyde & Co, reveals that 80 per cent of directors and officers (D&Os) worldwide consider health and safety risks to be very important or extremely important to their organisations.
Physical workplace risks were identified as the primary concern by 43 per cent of respondents, while employee mental health and wellbeing issues related to work were highlighted by 28 per cent.
For the first time since 2018, civil litigation and third-party claims have entered the top seven concerns, with 63 per cent of D&Os acknowledging these as significant risks.
Smaller organisations, those with revenues under US$50 million, and mid-sized firms with revenues between US$1 billion and US$5 billion, reported litigation risks more frequently.
In contrast, larger organisations, with revenues exceeding US$5 billion, identified diversity, equity, and inclusion (DEI), as well as bribery and corruption, as top risks, while financial distress and insolvency were less of a concern.
Notably, climate change has dropped out of the top seven risks in regions such as Asia, North America, and the Middle East. Conversely, DEI has emerged as a significant concern in Great Britain, North America, and Africa.
Social risks have seen a marked increase over the past five years; concerns about human rights breaches within business operations have risen from 23 per cent in 2021 to 62 per cent in 2025.
Similarly, apprehension regarding supplier business practices has grown from 27 to 59 per cent over the same period.
While there is generally strong alignment between perceived material risks and board expertise, cybersecurity and data privacy stand out as areas needing more attention, the survey says.
A significant 77 per cent of respondents view data loss and cyber-attacks, including extortion, as very important or extremely important risks.? AI is considered a major concern by 51 per cent of respondents and is perceived as the area where boards have the least expertise.
Angus Duncan, global D&O coverage specialist at Willis, comments: "The latest survey results underscore the diverse challenges directors and officers face today, highlighting how fraught the landscape has become. Despite increasing concerns over litigation risks, cost remains the dominant driver for D&O insurance purchasing decisions.
“This trend persists even as regulatory scrutiny and shareholder activism increase global liability exposures. By taking a proactive approach, companies can optimise their D&O coverage while mitigating financial and reputational risk. Our data helps clients anticipate emerging risks before they become serious exposures.”
The survey gathered responses from 765 global senior decision-makers across sectors including services, finance and insurance, healthcare, industry, energy and utilities, transportation, and retail.
