Reputational risk is climbing the agenda for passenger transport companies, with new research showing that concerns over sustainability and cyberattacks now outweigh traditional safety issues.
The findings come from the Reputation Risk Readiness Survey, which polled 100 senior executives across airlines, cruise operators and rail companies. It suggests that as the industry contends with decarbonisation demands in some markets and political pushback in others, reputational challenges are becoming more complex and unpredictable.
Environmental performance was cited as the top risk by 63% of respondents, reflecting growing regulatory scrutiny and consumer pressure on transport’s carbon footprint. Cyberattacks followed closely, with 61% ranking them as a leading reputational threat. Just two years ago, cyber barely registered, placing 28th in the 2023 survey.
The shift highlighted how reputation management is increasingly seen as a risk discipline rather than a branding exercise. Most firms surveyed (86%) said they have formal processes in place to assess and manage reputational risks, though only 13% tie those efforts to board-level key performance indicators. Crisis planning is more advanced, with 91% of companies now having designated teams trained to respond to negative publicity, up from 2023 levels.
Where the sector appears less prepared is on financial impact. Only 15% of respondents said they carry out extensive modelling of the potential costs of reputational damage, even though incidents such as cyber breaches or environmental controversies can trigger large-scale liabilities.
That gap has clear implications for insurers and brokers. While reputation itself is difficult to insure directly, its underlying triggers - from cybercrime to environmental exposure - are increasingly covered through specialist policies. Cyber liability, environmental liability and directors and officers (D&O) insurance are already absorbing some of these risks, but the low uptake of financial modelling suggests many operators are still underestimating their exposures.
The survey also underscored the rising importance of insurance solutions in a sector where a single incident can escalate into a reputational crisis with major financial consequences.
For carriers under pressure to demonstrate resilience, the combination of prevention, crisis management, and targeted insurance cover may prove to be the only safeguard against lasting damage.
