Allianz Insurance has just published its annual global risk barometer. The top five risks globally, in order are (with last year’s ranking in brackets):

  1. Cyber Incidents (1)
  2. Artificial Intelligence (10)
  3. Business Interruption (2)
  4. Changes in Legislation (4)
  5. Natural Catastrophes (3)

Specific to Canada, the top five risks this year are:

  1. Changes in Legislation (5)
  2. Natural Catastrophes (2)
  3. Business Interruption (1)
  4. Artificial Intelligence (9)
  5. Climate Change (4)

As to professional services, the top 5 this year are:

  1. Artificial Intelligence (new)
  2. Cyber Incidents (1)
  3. Changes in Legislation (2)
  4. (tie) Market Development (4) & Business Interruption (4)

And lastly, for smaller companies, which for this report is those with annual revenue less than USD100M which means most of your corporate clients:

  1. Cyber Incidents (1)
  2. Artificial Intelligence (new)
  3. Changes in Legislation (2)
  4. Business Interruption (3)
  5. Natural Catastrophes (4)

For us in Canada, changes in legislation – which incorporates tariffs, new directives, sustainability requirements – has, unsurprisingly become the top risk. Perhaps because of the uncertainly that results. The large jump in artificial intelligence as a risk is also notable, this category includes misinformation and disinformation, a category of increased risk for professional services and small businesses.

For us lawyers, dealing with legislation is what we do. And as we move more and more towards AI, the issues we have talked about, the cautionary tales we have mentioned, should also be top of mind as the risks of AI increase.