Shipping Costs Surge as Insurers Drop War Risk Protection in Gulf

The world’s biggest maritime insurers and insurers’ clubs are ending war risk coverage for vessels transiting the Persian Gulf and the Strait of Hormuz, following the escalation of the conflict in Iran. As of midnight London time on March 5, most major insurers will terminate war risk coverage, various circulars from the insurance clubs say. The American Steamship Owners Mutual Protection and Indemnity Association issued on Sunday a Notice of Cancellation in respect of war risks exposures within the Persian/Arabian Gulf…