Banking

A more connected banking risk landscape

Banks face a complex risk environment that is constantly changing. Cyber threats, generative and agentic AI, authorised push payment fraud, regulatory change and economic uncertainty are creating new exposures for banks of every size.

Simultaneously, banks also must manage changing regulatory capital requirements, cross-border obligations and the challenges of operating across different jurisdictions. These interconnected risks require careful management.

To build resilience, you need an approach that connects risk management, capital decisions, insurance strategy and claims insight. The goal is to make better decisions before risk becomes a loss.

How WTW addresses the connected risks banks face

WTW works with banking clients across global markets to help you understand, assess and manage risk with confidence. Our banking specialists bring deep sector knowledge across insurance product lines, risk management, analytics, claims and advisory services.

This support helps you make practical decisions about risk retention, risk transfer and capital allocation. It also shows where insurance can play a broader role:

• Protecting the balance sheet
• Supporting operational resilience
• Exposing emerging risks

Rather than treating each risk in isolation, banks can benefit from an interconnected view of risks such as cyber risk, fraud, professional liability, regulatory pressure, operational disruption and capital constraints.

How WTW helps banks manage risk

WTW combines global expertise, analytics and connected risk intelligence to help banks assess their full spectrum of risk. This can support more informed, data-led discussions about exposure, risk appetite, insurance structures and capital efficiency.

Advanced modelling lets you review available capital, test different risk transfer options and strike the right balance between retaining risk and transferring it to the insurance market.

Insurance is more than just a response to a loss. It is an integral part of a wider risk financing strategy that supports resilience, protects financial strength and helps your organisation prepare for future volatility.

Banking institutions we support

WTW supports a broad range of banking and financial institutions, including:

• Retail, commercial and investment banks
• Challenger and neo banks
• Building societies
• Credit unions
• Multilateral development banks and international financial institutions (IFIs)
• Central banks

Banking risk and insurance areas of focus

Banking institutions are facing established and emerging exposures that require clear analysis and specialist market understanding. These may include:

• Authorised push payment (APP) fraud insurance
• Mortgage impairment
• Commodities fraud
• Cyber and technology risk
• Professional liability
• Directors’ and officers’ liability
• Crime risk
• Operational resilience
• Claims strategy and advocacy

What’s next for banking resilience?

The banks best placed for the future will be those that connect risk insight, capital strategy and insurance decision making. As regulation, artificial intelligence, fraud and market uncertainty continue to evolve, resilience will depend on how quickly you can see the connections and act on them.

A clearer risk view can help you protect value today and prepare for what comes next.

To discuss how your organisation can strengthen banking resilience and make more informed risk financing decisions, speak to a WTW banking specialist.