"The Middle East is our client and our opportunity. In the past few days we came to Israel and spoke with clients in all sectors. The opportunities here are amazing alongside the risk. Companies in Israel are very innovative with a lot of technology," Aon president and CEO Gregory Case told the "Globes" 2014 Israel Business Conference.
Aon plc (NYSE: AON) is an international insurance giant that specializes in risk management worldwide. At the conference in Tel Aviv, Case answered questions from "Financial Times" correspondent Gideon Rachman.
Case said, "If we look at the world today, it is a more dangerous place. The risks our clients face are growing. There are diseases, there is the cyber threat, and global warming. The world is more connected and that lowers costs, for example, but it adds volatility."
He continued, "We are trying to assess specific risks regarding terror, civil wars and instability. The Middle East is a region of course with worrying points. Regarding Israel everyone understands the risk of terror but thinking about political risk, we see that there is political uncertainty rather than political instability. From the political point of view Israel is sufficiently positive.
It doesn't matter what government will be elected?
"Yes. The influence of a change in government can paralyze investment."
Terror can reach a level that it will make it more difficult to do business?
"In the end you reach a situation of instability but before that the ability to control risks is a coefficient of investments. Our clients are everywhere in the world."
Is the Internet a genuine risk?
"The Internet is already here and everyone is influenced by the cyber threat. Fundmentally the cyber threat is real and influences global economics. Gil Shwed (Check Point CEO) is a global business leader because the threat is very real."
What is the advantage of cyber?
"Risk is not only a negative thing, it is impossible to sit on the fence. Companies need to fight the cyber threat and understand how to respond to cyber attacks. Our clients struggle with the cyber threat and do a great deal to protect their businesses from cyber attacks."
What about epidemics and contagious diseases?
"Protection is possible against diseases if you understand how it influences your business, and you also have to understand how scared the public can be."
Perhaps not so much globally as locally?
"We see exactly the opposite. How the world is connected and linked up can influence your business and how this can be harnessed for the benefit of the business."
What about Israel?
"Our clients are very interested in Israel and they prove this. We support many companies in Israel. There is the risk side but also many opportunities."
Published by Globes [online], Israel business news - www.globes-online.com - on December 9, 2014
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