No. of Recommendations: 4
While Iran has yet to officially confirm that the vital waterway has been blocked,Doesn't matter. As expected, the insurance industry is not sitting on it's hands.
Carriers start issuing cancellation notices over Gulf conflict
Risks start to be covered on hour by hour pricing, premiums set to surge
By this morning, the fallout was clear: a cascade of "Notice of Cancellation" clauses, a de facto closure of the Strait of Hormuz for commercial fleets, and a market preparing for a Monday morning of unprecedented volatility.
Major marine war risk providers, including Oslo-based Skuld and NorthStandard P&I, have already begun issuing formal 72-hour cancellation notices for coverage in the Middle East Gulf and the Gulf of Oman. These notices, effective March 5, essentially reset the terms of engagement for any vessel entering the region.insurancebusinessmag.com - Carriers start issuing cancellation notices over gulf conflictTonight, the Beeb reported Lloyds has stopped insuring ships in the Gulf, but I do not see anything about that on the wire, yet.
Unless the Saudis feel like underwriting all the traffic, doesn't matter how much they increase production, because no-one will risk picking it up.
Steve
