Kidnap & Ransom
Over the past year, global mining operations have faced heightened kidnap, ransom, and extortion (KRE) risks, particularly in Africa, Latin America, and parts of Asia-Pacific. Hotspots such as Nigeria, the Democratic Republic of Congo, Mali, Colombia, Peru, and regions of Pakistan and India have seen increased activity from organised criminal groups and insurgents.
These actors exploit weak governance and the high value of minerals to target personnel, often focusing on expatriates and senior staff. The market responded with a relatively hard stance: pricing remains disciplined and capacity selective for high-risk geographies (typical rate increase of 5%-10%). Conversely lower-risk jurisdictions and cyber-only exposures have seen more competitive conditions (typical rate increase of 0%-5%). Key rate drivers include surging illegal mining, political instability, and regulatory interventions such as detentions and asset seizures, which have amplified operational uncertainty.
Claims trends underscore the severity of these risks. Incidents in Peru and Colombia involved mass kidnappings and lethal violence, and South Africa recorded over 17,000 kidnappings in 2024, marking a sharp rise year-on-year. In Africa’s Sahel region and the DRC, prolonged detentions remain common, and in Latin America, extortion and retaliatory attacks have escalated alongside record-high gold prices. Cyber extortion is a growing threat in developed markets such as Australia, Canada, and Europe. We have also seen increases of up to 10% for high-risk zones and flat or slightly reduced rates for well-controlled, lower-risk placements.
2026 outlook
Looking ahead, we expect continued high exposure in LatAm and Africa, with selective underwriting and differentiated pricing. Cyber-enabled extortion will remain a key concern globally, while traditional KRE risks will stay elevated in regions plagued by organised crime and political instability. Opportunities exist for companies to secure higher limits or broaden coverage, particularly where robust security measures, crisis response partnerships, and strong compliance frameworks are demonstrated. Enhancements for wrongful detention, reputational costs, and cyber extortion may also be available on a case-by-case basis.
How to get the most from the market
To optimise outcomes at renewal, clients should prepare comprehensive risk mapping and evidence of security protocols, including site access controls, travel procedures, and training records. Demonstrating year-on-year improvements in controls, engaging early with specialist KRE insurers, and leveraging crisis management providers such as Control Risks, S-RM, and Crisis24 can strengthen underwriting narratives. This will allow clients to take advantage of available capacity while mitigating the operational and reputational impacts of an increasingly complex threat environment.