SPOTLIGHT: GEOPOLITICS

Managing uncertainty & risk across borders

For multinational businesses, a key challenge is the ability to react to potentially sudden shifts in conditions in countries around the world in which these companies operate. Events during the first three months of 2026 — including in the Middle East and Latin America — highlight the need for multinational companies to be ready for potential crises in the countries in which they operate.

Military, political, and economic conflicts along with shifting alliances are leading to greater uncertainty for organizations operating across borders, with implications for assets, operations, and people. War, civil unrest, political violence, and expropriation are among the risks that can threaten employees and their families along with key business functions and finances.

Although every crisis event is unique, organizations can take action before and during crises to mitigate potential impacts.

Communicating with & safeguarding employees

Immediate activation of crisis management and incident response plans is essential to preventing or limiting injuries, operational disruptions, and additional costs. A key area of focus for these plans should be ensuring the safety and wellbeing of employees and maintaining lines of communication with them.

When a crisis arises, understanding whom you have in affected areas and confirming their wellbeing is an important first step. Knowing their locations and circumstances and any support they may require will help you respond appropriately.

Some organizations may be able to maintain databases with information that may be relevant when a crisis arises — for example, employee locations and travel plans in real time, citizenship and passport information, and personal email addresses and mobile numbers.

Depending on the nature of a particular event, employers may wish to encourage their employees in affected regions to:

Work remotely, if possible.

Regularly check in with managers and via any company-provided security or check-in applications.

Avoid large public gatherings.

Follow guidance issued by local authorities.

Organizations should also consider postponing nonessential travel, including flights to or transiting via affected regions.

Regular communication between employees and employers is vital and should go in both directions: Employers can share with staff critical updates — including about potential travel restrictions and evacuation options — while also learning from employees about material changes in conditions that could inform response actions. It is important to note, however, that communication may be hindered during crisis events as a result of both technological challenges and government action.

Additional preparedness priorities

In addition to considering the needs of employees, crisis management and incident response plans should clearly define:

Team roles & responsibilities.

Identify who participates in an event response, ensuring all essential functions are represented. Clarify each member’s duties to ensure efficiency and coordination.

Pre‑vetted third‑party resources.

Organizations should line up critical vendors — for example, global security and intelligence advisors — before a crisis. A number of insurance policies may reimburse policyholders for use of these services in a crisis event or allow for their engagement before an event.

Critical dependencies & vulnerabilities.

Identify single points of failure across supply chains, operations, and facilities. Determine backup suppliers, manual alternatives, and redundancy strategies if key locations or systems go down.

Plans should be reviewed regularly — at least annually — and updated after major business changes such as acquisitions, product launches, or facility closures.

Similarly, organizations should establish claims plans before any incident occurs, outlining clear responsibilities for internal teams and external partners. Essential documents — such as insurance policies, key insurer contacts, and financial or property records — should be stored in both hard‑copy and digital formats and backed up in multiple locations to ensure quick, reliable access when needed.

Evolving insurance needs

In a crisis, it is vital that organizations understand what policies exist locally, what coverages are in force, and where potential gaps remain. Following a crisis event, companies should also revisit their approach to global risk management and insurance purchasing, including reconsidering coverages they have elected not to purchase in the past.

Depending on the nature of a particular event, several forms of insurance could be relevant, including but not limited to the following:

Business travel accident insurance

Provides coverage for expenses related to employee medical emergencies while traveling.

Stand-alone coverage

For political violence and strikes, riots, and civil commotion.

Foreign voluntary workers’ compensation insurance

Can extend workers’ compensation benefits to cover injuries occurring outside the United States.

Trade credit insurance

Can protect companies from nonpayment risks related to corporate insolvencies and political events.

Kidnap and ransom (K&R)/special crime insurance

Can provide coverage for the cost of security and crisis consultants who can advise when employees are in danger.

Marine insurance

Includes cargo and protection and indemnity coverage, which can protect against a variety of risks to vessels, ports, and cargo in transit and in storage.

Political risk insurance

Can protect organizations from risks related to political violence, government expropriation, confiscation or nationalization of assets and investments, currency inconvertibility, and sovereign credit risks.

Cyber insurance

Can protect businesses from financial losses due to cyberattacks and technology-related disruptions, including those that may be politically motivated.

It is important to note that certain types of events, such as war, could prompt insurers to seek to restrict or issue notices of cancellation for some or all coverage available under these and other relevant policies. Multinational organizations should stay in close contact with their insurance brokers to understand specific policy language, how insurers are responding to specific events, and any additional solutions that may be available to them.

Multinational businesses that have purchased K&R/special crime, foreign voluntary workers’ compensation, political/security evacuation, and/or business travel accident policies should call the 24-hour emergency phone numbers listed on their policies as needed. This can allow organizations to open dialogue with relevant response consultants, who can provide advice and assistance, including regarding evacuation of employees in potential danger.

Opening cases — if necessary, depending on how an organization and employees have been impacted — can help to trigger emergency evacuation coverage and will ensure businesses receive the most up-to-date intelligence for at-risk regions where employees may be located.

Organizations without emergency evacuation coverage in their policies may still be able to contact emergency evacuation service providers for advice and assistance. However, this may carry additional costs.

International (expatriate) medical plans and business travel medical plans written by life and health insurers generally do not provide coverage for political evacuation. However, they may allow policyholders to secure additional support from security, evacuation, and assistance service partners.

When a loss occurs, organizations should immediately begin collecting the information needed to file a claim. This includes documenting the extent of any damage as well as any business interruption impacts and additional costs incurred — for example, to repair properties. Companies should capture clear photo or video evidence of any damage and maintain consistent communication among employees, insurance carriers, and claims advisors to meet policy requirements.

Choosing the right risk management partners

Multinationals must choose insurers and brokers carefully. In evaluating insurers, organizations should balance price with capability, prioritizing those that offer global reach, strong local networks, and proven track records of handling international claims across a variety of jurisdictions.

Similarly, businesses should seek brokers that:

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Function as a single, global team, providing access to global resources where and when needed.

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Employ true multinational specialists capable of delivering strategic insight and technical execution.

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Understand how rapidly global markets can evolve and have the resources necessary to provide proactive counsel and advice.

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Consider how foreign currency and tax issues may impact limits adequacy and money movements.

4 themes for multinationals to watch

In addition to preparing for and responding to sudden shifts in conditions, several overarching developments continue to impact multinational organizations. Four trends must be top of mind for risk professionals and senior executives.

01 China’s expanding global role.

China is playing an increasingly pivotal role in reshaping global trade and geopolitical dynamics. As major economies reassess trade relationships and supply chains, China is simultaneously strengthening its own economic partnerships globally. In response, many multinational companies are adopting a “China-plus” approach, exploring relationships with other countries — while maintaining their existing footprints in China — to help reduce dependency on China and better manage regulatory, technological, and supply chain exposures.

02 India’s growing strategic influence.

India is similarly emerging as a significant geopolitical and economic force, actively negotiating new trade agreements across industries beyond technology, including textiles, chemicals, and oil and gas. As India’s role expands, multinational companies may face shifts in supply chains, regulatory expectations, and market access that require adjustments to operational and risk management strategies.

03 Heightened workforce mobility risks.

Geopolitical instability — including recent events in Ukraine, the Middle East, Latin America, and elsewhere — is raising questions about how quickly employees can be relocated during crises. As a result, multinational companies are placing greater emphasis on workforce visibility, travel risk monitoring, and crisis response planning.

04 Escalating cyber & digital risks.

Cyber threats are increasingly being driven by criminal networks and state-linked actors rather than individuals. Digital asset companies in particular are seeing a rise in security incidents tied to cryptocurrency theft, highlighting the growing intersection of cyber and physical security.