Marine insurance and the five powers clause in times of war

[SINGAPORE] There was confusion at the beginning of the US-Israel attacks on Iran about insurers dropping war coverage for vessels, leaving them with no protection while transiting the conflict zone. 

However, the fact was that insurers revoked war cover to reassess the risks and thereafter offered protection at a higher premium to reflect the higher risk of voyages made within the affected area.

The International Union of Marine Insurance had to issue a statement on Mar 5 to clarify that war risk insurance for vessels and cargo is, and will remain, available in the Middle East as at April 2026, despite the US-Iran conflict.