Flu pandemic due, says Lloyd’s
A repeat of the 1918 Spanish flu outbreak is statistically overdue, and any mass outbreak will contribute to a global recession, according to a report from Lloyd’s.
The report says a widespread pandemic has the potential to drain between 1-10% of global GDP.
Because pandemics typically strike every 30 to 50 years an outbreak is now due, with avian flu the most likely source.
Lloyd’s says this may affect the investment assets of insurers and will also impact on the general business environment.
Insurance classes such as life and health insurance, D&O, and general and medical liability face high exposure to the risk.
The report says insurers should consider pandemic scenarios and consider action to measure and monitor potential risk exposure.
The report says a widespread pandemic has the potential to drain between 1-10% of global GDP.
Because pandemics typically strike every 30 to 50 years an outbreak is now due, with avian flu the most likely source.
Lloyd’s says this may affect the investment assets of insurers and will also impact on the general business environment.
Insurance classes such as life and health insurance, D&O, and general and medical liability face high exposure to the risk.
The report says insurers should consider pandemic scenarios and consider action to measure and monitor potential risk exposure.