The Federation of European Risk Management Associations (FERMA) published a Policy Manifesto 2024-2029 calling on the European Union (EU) to address regulatory complexities, lack of insurance for net zero transition, evolving cyber security challenges, and crisis preparedness levels.
The Policy Manifesto “Making Europe-risk ready for a brighter future” presents FERMA’s priorities for policymakers in the EU Institutions for the next institutional mandate (2024-2029) and outlines how the Federation can contribute to these. The Manifesto details four pillars which FERMA believes EU leaders must address to help bolster the overall resilience of the Europe Union. These priorities have been established following comprehensive discussions with FERMA members across European countries, including Malta.
Tackling increasing regulatory complexity
FERMA’s Manifesto raises concerns regarding the proliferation of EU rules and requirements over the last five years. While highlighting positive developments, such as the adoption of risk-based approaches in policies and the use of risk assessments to guide policymakers’ decisions, FERMA believes simpler rules and simplified processes will help EU enterprises remain competitive. To address this, FERMA is urging policymakers to task the Fit for Future Platform ('F4F') with providing the European Commission with clear and actionable recommendations on areas where thematic policies overlap or can be simplified.
Risk management in the Net-Zero transition
FERMA’s Manifesto highlights positive initiatives in the transition to Net-Zero, such as the EU Climate Risk Assessment but urges amplification of the role of the risk manager in the process and raises concerns regarding the lack of insurance coverage to support companies in making the transition.FERMA proposed that an Expert Group on Climate Protection Gaps is set up by the European Commission with the aim of generating policy recommendations for the next EU Adaptation Strategy. FERMA also proposed that the European Parliament’s Committee on Economic and Monetary Affairs holds a hearing on the challenges of securing insurance coverage to facilitate the Net-Zero transition. FERMA believes the lack of relevant cover is severely limiting the EU’s ability to meet climate targets and must be addressed at parliamentary level.
Strenghtenting EU cyber resilience
FERMA’s Manifesto flags the importance of continuing to focus on cyber security and risk management in a dramatically altered digital threat landscape and urges a greater focus on the need to quantify cyber exposures more accurately, particularly as AI and cybersecurity issues increasingly overlap. FERMA urges policymakers to develop common EU cyber security standards building on ENISA’s “Cybersecurity for SMEs” report, while also proposing revisions to the EU Cyber Security Strategy, integrating cyber risk management and insurance into the review.
Strengthening the EU’s crisis preparedness
FERMA’s final Manifesto priority focuses on enhancing geopolitical resilience by prioritising risk management on all fronts and establishing robust crisis preparedness and response tools through enhanced cross-border collaboration. This lends support to the ‘Preparedness Union’ recently proposed by Finland to the European Commission.Ms. Charlotte Hedemark, FERMA President, said that “the incoming EU leaders are facing a risk landscape of almost unparalleled complexity heightened by growing geopolitical tensions, ongoing economic uncertainty, and the constantly expanding cyber threat.” FERMA’s Manifesto aims to promote risk-focused solutions to help elevate resilience and boost competitiveness across the EU and apply FERMA’s comprehensive risk expertise to drive positive action on the four critical pillars. The Federation of European Risk Management Associations acts on behalf of 23 risk associations in 22 European countries, representing over 5,500 risk professionals.