Risk management feedback. There is very little the internet doesn’t touch today, allowing bad news to travel quickly around the globe. (Photo: Shutterstock)

An article in the March issue of Claims Magazine noted that reputational risk is a newcomer to the list of covered risks. In 2007, The Harvard Business Review reported the framework for enterprise risk management proposed in 2004 by the Committee of Sponsoring Organizations of the Treadway Commission does not contain any reference to reputational risk, although it mentions virtually every other imaginable risk.

To understand why reputational risk has emerged as front line coverage, we need to survey how the world has changed during the intervening 15 years.

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