What You Need to Know About Reputational Risk

By: Lou Novick

The business community, including associations, is just beginning to understand the threat posed by reputational risk. Prominent examples drawn from news headlines show why managing this risk is critical for organizations that value their good name.

The International Risk Management Institute defines risk as "uncertainty arising from the possible occurrence of given events." IRMI is one of the most respected resources for property and casualty insurance and risk-management information in the industry, but its online glossary contains no definition of reputational risk. ...