NYN | NEWS
The maritime-focused website TradeWinds reported today that global insurance companies are still refusing to lower the premiums on insurance policies for ships transiting the Red Sea and Gulf of Aden, insisting on clear indicators of a stable ceasefire in Gaza as a key condition for any cost reassessment.
According to sources familiar with the matter, insurers are closely monitoring security conditions in areas classified as “high-risk zones,” stressing that any changes in insurance rates will directly depend on the sustained military calm and its impact on the safety of commercial navigation.
This cautious stance comes amid ongoing concerns that the ceasefire agreement may collapse, keeping the maritime market in a state of uncertainty and insurance premiums at the elevated levels introduced since tensions erupted in October 2023.
Estimates suggest that insurance companies are unlikely to reduce premiums until a sufficient period has passed that demonstrates stability in the security situation and a decline in threats facing vessels along the critical shipping lanes stretching from Bab al-Mandab to the Suez Canal.
