Large corporations have become so complex that many aredangerously underinsured for key business risks. It's a problem noone, either inside corporate leadership circles or in the insurancesector, knows how to fully solve. In some cases, corporate riskmanagers do not even realize the problem exists until a large lossoccurs.

Businesses have become more and more complex for decades, asthey have expanded globally, engaged in extensive merger andacquisition (M&A) activity, and built cross-border sales andsupply chains. This complexity has been exacerbated in recent yearsby operational responses to the global financial crisis,technological innovations, the rollout of new regulations andcorporate governance initiatives in many jurisdictions, andinternal cost-cutting programs.