Bloomberg: The price of ship insurance is rising due to increased attacks by the Russian Federation on ports in Ukraine

Author:
Liza Brovko
Date:

The cost of insurance for ships passing through the Ukrainian export sea corridor in the Black Sea has increased significantly during the week. The reason is increased Russian attacks on ports.

Bloomberg writes about this with reference to market participants.

The insurance price now exceeds 1% of the vesselʼs value, which is 0.75% more than last week. That is, for a ship worth $50 million, insurance will cost $125 000 per marine venture.

Despite the intensification of Russian attacks on Ukrainian ports, traffic through Ukraineʼs maritime export corridor is still stable. However, the continuation of such actions by the Russian Federation may make shipowners afraid to send ships on this route.

Insurance rates vary from one insurer to another. Some trailers are interested in insuring their cargo, which is covered separately from the ships themselves.

Over the past three months, the Russians have carried out almost 60 attacks on ports, civilian ships and grain warehouses in the south of Ukraine — almost 300 port infrastructure facilities, 177 vehicles and 22 civilian ships were damaged or destroyed. 79 people were injured, including employees of ports, logistics companies and ship crews.

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