An update on Cargo / Credit and Political Risk insurance in the Persian Gulf
This update was correct as of March 2026.
Recent escalation around the Strait of Hormuz has resulted in significant changes to cargo insurance, credit and political risk coverage in the region.
The Cargo and Political Risk Team at Miller is actively supporting clients amid heightened tensions in the Persian Gulf. This has meant some notable updates to our current offerings that we would like to highlight.
Cargo risks
War Risk coverage in the Persian Gulf has become more complex. Some insurers are issuing cancellation notices with stricter reinstatement terms, while others maintain coverage using mandatory pre-notification mechanisms for high-risk areas and additional premiums. Stranded cargo remains insurable, subject to comprehensive risk disclosure and increased rates. Most major marine insurers have restricted access to coverage for transits in and out of the region, but select London market underwriters offer bespoke policies.
Political and credit risks
The surge in cargo war risk is affecting trade flows and exposing businesses to unexpected credit and political risks, including payment disruptions and asset exposures. Miller’s dedicated political risk solutions can help commodity traders, corporates, and banks mitigate these risks effectively, ensuring continued protection amid uncertainty.
A rapidly changing situation
The Persian Gulf insurance market is evolving daily, with new restrictions, tariff adjustments, and increased risk ratings from CESAM and the Global Cargo Watchlist. The Cargo and Political Risk team is committed to monitoring developments closely and updating clients in real time, ensuring the best recommendations and tailored support in a volatile environment.
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