Cyber attacks top a poll ranking external risks to New Zealand businesses, for the second year running.

About 86% of respondents rate cyber risks as medium or high, followed by brand and reputation risks, disruptions from natural catastrophes, financial risks and increased competition, the annual Marsh survey of business directors shows.

Cyber also tops emerging risks that may affect operations in the next two years.

Loss of a key employee is the leading internal risk this year, replacing IT disruption.

“The death or permanent disability of a key person can have a significant impact upon the continued success of a business,” Marsh says. “SMEs are particularly vulnerable in this area. Having succession planning in place is an important part of managing this risk.

“You can also provide financial protection by taking out key person insurance.”

The survey in March, conducted in partnership with the Institute of Directors, questioned 570 people.