Shipping Insurance Costs Surge After Attacks Near Strait of Hormuz

Financial outlets describe a sharp rise in war-risk premiums and insurance costs for ships crossing the Strait of Hormuz after recent attacks, squeezing margins for energy and commodity shippers. They highlight that US-backed insurance tied to naval escorts could stabilize coverage but may add political conditions and routing constraints. Shipping firms and manufacturers are reassessing routes and supply chains, with some, like Japanese companies, weighing alternative materials flows to reduce dependence on Hormuz.

• •War-risk insurance premiums for tankers and cargo ships using the Strait of Hormuz have surged since the March 2026 attacks.
• •US government-backed insurance linked to Navy escorts is presented as a way to keep coverage available for high-risk transits.
• •Lloyd's of London and other insurers continue to offer cover for Hormuz passages but at higher prices and with stricter terms.
• •Companies such as Kubota are examining new shipping routes and materials sourcing to avoid potential Hormuz closure.
• •Higher transit and insurance costs through Hormuz are expected to feed into delivered prices for oil, gas, and industrial goods.