Cost of ship insurance rises as Russian market shrinks — SOGAZ
Foreign reinsurance companies are not eager to take part in Russian projects so far
The cost of ship insurance is increasing as Russian market is shrinking, Sergey Sedov, Deputy Director for Insurance of International Projects, SOGAZ, said at the 6th LNG Fleet, LNG Bunkering and Alternatives conference held by PortNews Media Group in Moscow.
“Due to rejection of foreign companies to work with Russian ships, the reinsurance market including that of Russia is shrinking while the cost of insuring is rising. Among the mechanisms to resolve the situation is the expansion of reinsurance market opportunities in Russia. RNRC (Russian National Reinsurance Company — Ed.) has managed to replace foreign companies that had left Russia. Besides, it is necessary to diversify the reinsurance market with a focus to be shifted from the West European markets to those of friendly countries,” said the speaker.
According to Sergey Sedov, foreign reinsurance companies are not eager to take part in Russian projects so far as they wait for concretization of sanction risks.
