Periods of geopolitical instability place seafaring crews under extraordinary pressure. As the recent conflict in the Middle East has demonstrated, maritime insurers can quickly find themselves managing not only complex coverage issues, but also large-scale humanitarian and logistical challenges. Such events highlight the interaction between Protection and Indemnity (P&I) and War Risks insurance, and the practical realities of repatriating crews during an active conflict.
From commercial disruption to humanitarian crisis
Following the outbreak of conflict in the Middle East, vessel traffic through the Strait of Hormuz became severely disrupted after the Iranian Revolutionary Guard Corps declared the waterway closed to maritime traffic.
Thousands of vessels became immobilised, leaving more than 20,000 seafarers stranded aboard ships with limited access to food, water, medication and other essential supplies. As the conflict escalated and vessels came under attack, crews faced increasing physical danger alongside significant psychological stress.
While much of the public focus centred on the wider geopolitical developments, shipowners and their insurers were confronted with an equally urgent challenge: protecting the welfare of crews operating in an active conflict zone.
Understanding the insurance response
The situation also brought into sharp focus the interaction between P&I and War Risks insurance.
P&I cover generally excludes liabilities, costs and expenses arising directly from war risks, subject to any Excess War Risks P&I provisions that may apply. As a result, liabilities arising directly from acts of war will ordinarily fall to War Risks insurers.
The distinction is an important one. A liability arising within a war-risk area does not automatically become a war-risk claim. Where an incident is unrelated to the conflict itself, conventional P&I cover will generally continue to respond in the usual way. Conversely, where the loss results directly from a recognised war peril – for example, personal injuries sustained following a missile strike – the owner’s War Risks policy is likely to respond, subject to its terms.
Supporting crews under extreme circumstances
Beyond questions of policy response, the immediate priority is always the welfare of the crew.
Under the Maritime Labour Convention, shipowners are required to repatriate seafarers from war zones at their own expense where the crew member has not consented to enter the area. During active conflict, however, access to vessels may be severely restricted, limiting the assistance owners can provide until crews can be safely evacuated.
Where vessels have been attacked, the priority becomes addressing immediate medical needs, securing accommodation, providing food and essential supplies, facilitating communication with families and arranging repatriation as quickly as circumstances allow.
The complexity of repatriation
Repatriating an international crew during a conflict is a complex process. Crews often comprise multiple nationalities, while conflict can result in the closure of airspace across several jurisdictions. Many seafarers may have abandoned ship without passports or personal belongings, requiring emergency travel documentation, temporary visas and embassy support before any journey home can begin.
Medical considerations add further complexity. Injured crew members may require ongoing treatment during transit and must be certified fit to travel before repatriation can proceed. Where commercial flights are unavailable, alternative routes involving cross-border land transport may also need to be arranged.
Managing the most difficult outcomes
The most challenging situations arise when lives have been tragically lost. In addition to supporting surviving crew, owners must ensure that deceased seafarers are treated with dignity and in accordance with local legal requirements and religious customs. This often requires coordination with local authorities, police, courts, port authorities, hospitals and funeral directors before repatriation can take place.
These processes are necessarily meticulous, but they are also deeply personal for the families involved, making compassionate handling every bit as important as technical expertise.
Lessons for insurers
Marine losses arising from geopolitical events extend far beyond questions of policy coverage.
While understanding the interaction between P&I and War Risks insurance remains essential, successful claims management also depends upon rapid coordination, local expertise, clear communication and a clear focus on crew welfare.
As geopolitical tensions continue to affect global shipping routes, insurers and shipowners are increasingly likely to encounter incidents where humanitarian response, operational logistics and insurance coverage become inseparable. In those circumstances, the ability to support people through some of the most challenging situations the maritime industry can face is crucial.
