Managing Reputational Risk In The Digital Era: Insights And Applicability Of Reputational Risk Insurance In India

Abstract

Reputation has emerged as a critical intangible asset in the corporate sector, influencing market valuation and stakeholder trust. The pervasive media landscape, with its rapid dissemination of information, has magnified corporate vulnerability to reputational risks, often culminating in financial and operational setbacks. This paper examines the dynamics of reputational risk, with a specific focus on the repercussions of adverse media publicity. Through a review of literature, case studies, and comparative analyses, this study investigates the strategies for managing reputational risk and assesses the applicability of reputational risk insurance in India. Findings emphasize the role of proactive communication, robust crisis management protocols, and governance structures in mitigating reputation-related challenges. The paper also explores the Indian socio-economic and regulatory context, offering recommendations to enhance the adoption and efficacy of reputational risk insurance.