Our luxury brand and high-end retail clients operate in a fast-moving, complex and competitive business environment.
We understand that your customers require speed and convenience. Likewise, they have discerning tastes with a keen eye for the origin or source of your luxury product. To meet customer demands and continue growing, luxury brands are investing in complex supply chains, bespoke delivery and payment solutions and new technologies.
Brands also use technology like social media to build and support emotional investment, which is reflected in the many and diverse partnerships with third parties that help to define, develop, promote and support the brand.
While the risk profile of luxury brands from fashion and accessories to hard luxury may share many common features, we understand that your brand’s risks are unique. Luxury is an important and growing sector in which your risk exposures are tied to your unique business model and culture.
That's why we are committed to understanding and supporting your luxury brand’s culture, business model and operational objectives with our vast network of risk and people solutions.
Luxury brands face an evolving risk landscape
Corporate risk priorities have shifted to include more than just physical assets. Risk management now includes people risks, such as talent retention, and intangible assets, including intellectual property.
The growth of digitalization has highlighted the need for strong data protection. Likewise, the prevalence of social media has underlined the importance of reputation management.
The risk map for luxury brands is evolving. Along with the more traditional physical loss and damage exposures, corporate risks may also include:
- Failure to achieve environmental or sustainability targets
- The ability to attract and retain key talent
- Heightened exposure to global terrorism, civil commotion and political risk due to increased geopolitical instability
- New and diverse partnerships, joint ventures, projects and product lines, which expand business opportunities but create new risk exposures
- Reputational risk, which is especially acute in an industry dependent on social media and partnerships
- Cyber risk, especially in terms of customer and other sensitive data
- Crime, including the rise in organized theft, digital theft and social engineering
- Supply chain transparency and end-to-end ethical integrity
- Natural catastrophe risk, resulting in loss of assets or contingent business interruption
- Supply chain vulnerabilities in an increasingly global ecosystem
- Vulnerability to counterfeiters and loss or breach of intellectual property
At WTW, we combine years of global luxury brand experience with wide ranging risk management expertise to address the distinct and specific needs of your luxury brand to help you navigate the changing risk landscape.
How we can help your luxury brand better manage risk
Our globally integrated luxury brands team provides you with expertise from all areas of client servicing, including
- Claims management
- Captive management
- Insurance program design and placement with markets worldwide
- Actuarial analysis
- Alternative risk transfer
- Mergers and acquisitions
- Employee benefits
We also provide day-to-day servicing by a team that understands the luxury sector. We can work with you to provide bespoke policy wording aligned to your unique luxury risk profile and a risk program that supports and responds to luxury business and operational needs.
Our clients are leaders in high jewelry and fashion, watches and leather goods, cosmetics and fragrance, luxury automotive, fine art and online luxury sale and distribution.
We can provide advice, consultancy and risk transfer options in the following key areas:
- Property damage and business interruption
- Marine cargo
- Jewelers block
- Fine art and specie
- Environmental, social and governance (ESG) commitments
- Climate and sustainability
- Geopolitical and supply chain risks
- Cyber risk
- Credit risk
- D&O and crime exposures
- Reputational risk
- Terrorism and political risk
- Mergers and acquisitions
- Compensation advisory
- Employee listening
- Job architecture
- People risks
- Employee benefits
- Product recall
- Emerging risks and trends relative to your business model
$50mn aggregate limit of liability available under reputational crisis insurance solution
1000+ clinical trials placed globally
140+ countries where we service our clients' needs
WTW stats as of August 2023
Why choose WTW?
Please note these case studies are for illustrative purposes and the outcomes may vary from client to client, depending on their individual needs and exposures.