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Sedgwick's 2026 Forecasting Report: A Glimpse Into the Future of Risk Management

In a rapidly evolving global landscape, organizations are facing numerous challenges that require immediate attention and strategic planning. Sedgwick, a prominent player in risk management and claims administration, has recently released its 2026 forecasting report. This document encapsulates critical insights derived from industry leaders and surveys among Fortune 500 executives, aiming to illuminate the paths forward for businesses as they navigate complex risk environments.

Key Takeaways from the Report

The report is underpinned by extensive research, incorporating insights from experts and data gathered through executive surveys conducted with the help of an external research partner. The focus is clear: equip companies with knowledge about impending risks and the tools necessary to adapt to both current and emerging challenges.

"Planning for the unknown is paramount for success in 2026," emphasized Mike Arbour, CEO of Sedgwick. He elaborated that organizations must cultivate a resilient mindset, preparing not just for known hazards but also for unexpected disruptions.

Major Themes Identified

Here are the prominent trends identified in the report that will likely influence risk management tactics across sectors:

1. AI Risk, Readiness, and Governance

AI is poised to reshape the operational landscape, yet companies report a significant challenge in keeping pace with its rapid advancement. The surveying of Fortune 500 executives highlights that 70% of firms have established AI risk committees; however, only 14% feel fully prepared for AI deployment. The report notes that the uncertainty surrounding regulations presents a significant hurdle to realizing AI's potential effectively.

2. Catastrophe Risks and Recovery Challenges

Climate change is indisputably altering the dynamics of risk. As extreme weather events become more frequent, companies across sectors are facing heightened costs and complexities. The report highlights that 75% of respondents face labor access hurdles linked to immigration issues, and 76% anticipate moderate to severe insurance pressures stemming from catastrophic events. Adopting agile strategies and proactive planning is emphasized as a necessity for navigating these new realities.

3. Supply Chain Disruption

Geopolitical tensions, shifting trade policies, and other global factors contribute significantly to supply chain disruptions. According to the report, a striking 66% of companies report adverse impacts from U.S. trade policies, and 38% identify cybersecurity as a structural vulnerability. Organizations are urged to remain vigilant and adaptable in the face of these ongoing challenges.

4. Workforce Transformation and Talent Management

The advent of AI and its incorporation into various functions necessitate a redefinition of leadership dynamics. Companies must foster a culture that prioritizes team-building and mentorship. Notably, 32% of executives identified evolving employee expectations as a primary challenge, underlining the need to reassess talent management strategies.

5. Global Risk and Resilience

The report leaves no room for doubt: organizations today must contend with relentless volatility from a myriad of sources. A staggering 56% of companies ranked geopolitical instability as their foremost concern, with cyber threats equally receiving alarming attention. Building resilience requires a forward-thinking approach to scenario planning and readiness.

Preparing for the Future

"Anticipating future developments while being prepared for the unexpected are critical success factors for businesses in 2026," stated Dave Arick, Managing Director of Global Risk Management at Sedgwick. Sedgwick is committed to empowering its clients with reliable strategies and actionable insights, creating resilient organizations capable of thriving amid disruption.

As the organization continues to monitor the trends outlined in its forecasting report, businesses are encouraged to adopt a proactive stance, using the information provided to navigate the uncertain waters of the coming years effectively. To learn more about Sedgwick and its comprehensive strategies for risk management, visit their website at sedgwick.com.