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Red Sea Dangers: Increasing Insurance Premiums and Introducing Coverage Exclusions for Vessels Transiting the Red Sea

By Philip He & Steven E. Knott on February 26, 2024
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Red-sea-1500797449-300x169Yemeni-based Houthi forces have attacked more than two dozen vessels transiting the Red Sea since the October 7, 2023, start of the current Israel-Hamas conflict, leading to a surge in marine war insurance premiums. Houthi elements have attacked commercial shipping with the stated goal of destroying America and Israel, although non-American and non-Israeli vessels have been fired upon, too, since the U.S. and its allies have been carrying out strikes against the Houthi elements in response to their attacks. The resulting increased risks of sailing through the Red Sea have led some vessels to avoid the Red Sea and divert to the Cape of Good Hope, including those operated by Maersk.

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  • Posted in:
    Admiralty and Maritime
  • Blog:
    Policyholder Pulse
  • Organization:
    Pillsbury Winthrop Shaw Pittman LLP
  • Article: View Original Source

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