Some war insurers advise shipowners to pause Hormuz voyages after attacks, sources say

• War insurance rates for Gulf vessels increased to 3% of vessel value from 2% within 24 hours, with potential further increases to 5% or more, translating to hundreds of thousands of dollars in additional daily costs
• Tuesday's tanker attacks prompted Washington to revoke an oil licence and launch strikes on Iranian targets, with President Trump indicating new strikes were likely and an end to negotiations with Iran
• The IMO Secretary-General called on governments to engage with insurers to ensure premiums reflect current realities rather than peak crisis levels, citing the strain on shipowners from sustained high costs

Summary

Key Development: War insurers are advising shipping companies to pause voyages through the Strait of Hormuz following escalating U.S.-Iran tensions after attacks on three tankers on July 8, 2026.

Critical Facts:

• Three tankers were attacked in the Strait of Hormuz, prompting U.S. strikes on Iranian targets
• President Trump declared efforts to end the war with Iran "over" and indicated additional strikes planned for Wednesday night
• War risk insurance premiums have surged to 3% of vessel value from 2% last week, with potential increases to 5% or higher
• War risk insurance is typically provided on seven-day terms and reviewed every 24-48 hours
• Premium increases translate to hundreds of thousands of dollars in additional daily costs

Market Impact:

• Global oil prices spiked following Trump's comments
• The UN's International Maritime Organization (IMO) recommended avoiding Hormuz sailings until crew safety can be assured
• No immediate halt to war coverage reported, though underwriters are reviewing policy terms

Regional Significance:

The Strait of Hormuz is a critical global energy chokepoint, and disruptions threaten global oil supply chains.

Industry Response:

IMO Secretary-General Arsenio Dominguez expressed concern over sustained high insurance costs, calling on governments to engage insurers to ensure premiums reflect current realities rather than peak crisis levels. The rising costs compound financial strain on shipowners and operators navigating the volatile security environment.