Iran has the capacity to roll out a maritime insurance programme for vessels transiting the strategic Strait of Hormuz, but such coverage would likely operate only “to some degree” given prevailing geopolitical and risk conditions, according to Steve Tunstall, general secretary of the Pan‑Asia Risk and Insurance Management Association (PARIMA).
Tunstall made the remarks at PARIMA’s Manila Masterclass, noting that while Iran has unveiled a shipping insurance initiative known as “Hormuz Safe,” actual market implementation remains limited and constrained. The programme — reportedly backed by Iran’s Ministry of Economy and Financial Affairs and structured to offer “verifiable digital insurance” for Iranian shipping firms and cargo owners — could function in a narrow capacity but may not yet provide broad cover comparable to established international maritime insurance systems.
The initiative follows similar efforts by other territories to support maritime operations through the strait amid regional instability. In April, Government of India announced the Bharat Maritime Insurance Pool to provide marine hull, war risk and cargo coverage for eligible vessels under sovereign guarantee, while the Hong Kong Marine War Risks Insurance Pool launched a war risk facility for China‑linked vessels.
Tunstall said the Iranian system’s practical utility is restricted by broader risk perceptions and logistical challenges in the shipping sector, including concerns about crew safety, geopolitical sanctions and the absence of comprehensive global underwriting support.
The development comes amid ongoing disruptions to shipping insurance markets in the Persian Gulf, where private war‑risk coverage has tightened and international programmes have been established to maintain trade‑enabling insurance capacity.
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