Shipping insurance rates for vessels operating in the Black Sea are skyrocketing, following a series of Ukrainian attacks on ships connected to Russia. Marsh, the world’s largest insurance broker, reported that the cost of insuring calls to Russian ports has surged over threefold. Prior to these incidents, insurance rates ranged from 0.25% to 0.3% of a vessel’s value, but they have now climbed to as high as 1% for certain Ukrainian ports.
Ukrainian forces claim responsibility for attacks on two tankers associated with Russia’s covert marine fleet, which operates to evade sanctions. Additionally, two other incidents involving vessels linked to Moscow have occurred recently. Munro Anderson, Head of Operations at Vessel Protect, highlighted that underwriters are now factoring in a wider range of potential strike locations and are anticipating increased retaliatory actions from Russia against ships tied to Ukraine.
The recent blasts, particularly in the Black Sea, coincide with broader military actions targeting Russian oil infrastructure, raising safety concerns for maritime operations in the region. Dylan Mortimer, Marine Hull UK War Leader at Marsh, noted that rising insurance rates reflect the escalating risk to vessels and port facilities. As the situation evolves, the potential for further attacks and subsequent insurance premium increases remains a significant factor for shipping companies navigating the area.
