It could be just the typical morose nature of the insurance industry but even China, which once held out great prospects, is seen as a challenging market. The International Union of Marine Insurers (IUMI) 2014 Conference was held for the first time in China in Hong Kong last week presumably due to those prospects for the industry but attendees were warned that it is tough and going to get tougher.
Despite a resurgence in the global trade volume and continuously rising fleet growth, insurance premiums have continued to stagnate, according to figures from the International Union of Marine Insurance (IUMI).
Rather than waiting for the inevitable to happen, insurers are warning that better precautions should be taken to avoid an Arctic disaster before it happens even as traffic into the isolated region keeps increasing.
Highlighting the increasing concern with the problem of Russia and Iran, the International Union of Marine Insurance (IUMI) is calling for insurers and reinsurers to have a clear policy on sanctions as it seeks certainty for clients in a volatile environment.
As the people who have to worry about paying out when something goes wrong, the increasing size of vessels concerns marine insurers greatly.
The International Chamber of Shipping (ICS), the International Union of Maritime Insurance (IUMI) and the International Salvage Union (ISU) have united in condemnation of the continuing refusal to provide refuge for fire-damaged, structurally-weakened Maritime Maisie.
The risk of piracy has “not gone away” according to chairman of Maritime Piracy Humanitarian Response Programme (MPHRP) Peter Swift, at a conference hosted by the International Union of Marine Insurance (IUMI).
Marine insurers have warned that growing government regulation of wreck removal is driving up costs, and some measures introduced could warrant legal challenges.