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SAFETY4SEA

Russia to cover oil tankers affected by UK-EU insurance ban

by The Editorial Team
June 8, 2022
in Shipping
baltic exchange

Credits: Shutterstock

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Former president Dmitry Medvedev said that Russia will cover Russian oil tankers to ensure they are able to continue making deliveries, if they are unable to get insurance because of Western sanctions.

We remind that the UK and EU agreed to a ban on insuring ships carrying Russian oil, after the European Council earlier agreed to ban seaborne imports of Russian oil.

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The insurance ban could have much broader consequences for Russian exports, says Financial Times, as it the country will have to look for insurance in smaller, less developed markets.

In addition, a senior commission official added that the G7 countries were working towards an insurance ban. The ban would not take effect for six months, the official said, after which Russia will have “a big problem shipping the stuff around.”

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The partial ban on Russian oil imports covers more than 2/3 of oil imports from Russia, cutting a huge source of financing for its war machine, Michel announced in a tweet.

Now, speaking via Telegram, Dmitry Medvedev hinted that Russia will cover uninsured ships, through assurances based on trade agreements between Moscow and importing countries.

As he said “the issue of insurance procurement can be solved by means of a government assurance under the framework of multinational agreements with third countries.”

Tags: EUmarine insuranceRussiaUK

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