Stay Competitive With a ‘Lean in, Seek Opportunity’ Approach to Strengthen Financial Stability, Workforce Vitality and Build Resilience

Chicago, December 3, 2024 — Hub International Limited (HUB), a leading global insurance brokerage and financial services firm, released the HUB 2025 North American Outlook Report, which features insights from the Executive Survey and reveals many business leaders expressed a sense of uncertainty regarding preparedness for emerging threats. Utilizing insurance, risk management and employee benefits strategies to improve profitability, vitality and resilience continue to be untapped methods for most respondents.

“The acceleration of risk has never been faster, so organizations have to be more proactive than ever to be fully prepared,” said Marc Cohen, HUB President and CEO. “The HUB survey results show that leaders are thinking about these risks but require assistance from the right partner. Leveraging insurance to protect profitability, investing in data analytics to improve workforce vitality, and building a comprehensive ERM (enterprise risk management) plan to be resilient against future risks, are the solutions and strategies executives need to consider.”

Inflation, climate change, natural disasters, cyber threats, AI and unpredictable geopolitical events are putting businesses on notice to adopt a proactive and adaptable risk and insurance approach for sustainable growth and resilience.

The HUB 2025 North American Outlook Report outlines a plan on how to prepare for these challenges, leverage data-driven insights, access strategic insurance options, and commit to employee well-being to protect profitability and build a resilient future. The survey findings highlight four key takeaways for organizations seeking to thrive in this dynamic environment:

• Insurance as a Strategic Imperative: 73% of respondents acknowledge being underinsured against profit-threatening risks, a figure that has only slightly improved from 76% in 2023 and underscores the critical role of insurance as a strategic tool for mitigating the financial impact of both familiar and emerging risks.

• Exploring Alternative Risk Transfer Solutions: 81% of respondents reported significant to moderate impacts on their ability to secure adequate insurance coverage due to inflation and other economic factors. With economic headwinds and inflation placing increased pressure on insurance costs and availability, alternative risk transfer solutions should be explored.

• Data-Driven Insights for Workplace Vitality: 66% of respondents in the U.S. and 75% in Canada identify employee productivity as a key focus area for 2025. Recognizing the crucial link between employee well-being and overall business performance is driving organizations to increasingly turn to data and analytics to optimize their total rewards strategies, particularly compensation, and align them with productivity metrics to foster a more engaged and productive workforce.

• Risk Management for Enhanced Resilience: 62% of respondents indicate that their organizations have implemented formal enterprise-wide risk management (ERM) assessment processes, demonstrating a growing awareness of the need for proactive risk mitigation. Robust risk management strategies help navigate an increasingly complex and unpredictable environment and can transform potential disruptions into opportunities for growth and innovation.

Read more insights in the HUB 2025 North American Outlook Report and the 15 Industry Outlooks, here.