With the growing complexity of the food supply chain, food safety risks will increase. Quality is crucial...
Food is insured along the value chain, from agricultural risks in the field to product recall in the supermarkets. Yet typically different departments underwrite food risk at different stages of the supply chain. Food is also a key indirect factor in other lines of insurance business, notably the effects of nutrition on mortality and morbidity within a population. Moreover, food is an important sustainability driver.
Severe price fluctuations in international food markets in 2007 reminded us all of the importance of food security in the global risk landscape. As a leading global (re)insurer, Swiss Re is directly and indirectly exposed to the food industry in a number of ways: from risk management solutions in agriculture; to legal exposures and the need to instigate product recalls; and to the role of highly calorific food in the current global obesity epidemic.
The Swiss Re Centre for Global Dialogue monitors the broad issue of food on a continual basis as one of the key factors within our global risk landscape.