{"id":754893,"date":"2026-09-23T15:45:00","date_gmt":"2026-09-23T19:45:00","guid":{"rendered":"https:\/\/mereja.com\/index\/?p=754893"},"modified":"2026-09-28T12:03:35","modified_gmt":"2026-09-28T16:03:35","slug":"uk-pi-war-risk-exclusion-hits-red-sea-lanes-that-carry-ethiopias-seaborne-trade","status":"publish","type":"post","link":"https:\/\/mereja.com\/index\/754893","title":{"rendered":"UK shipping insurer drops war cover in Red Sea waters that carry Ethiopia\u2019s sea trade"},"content":{"rendered":"

\"Satellite<\/p>\n

The UK P&I Club is a British mutual insurer that covers shipowners and charterers against liabilities (P&I stands for protection and indemnity). It has told its members that war-risk cover under several of its policy types will change again for the Indian Ocean, the Gulf of Aden, the Red Sea, and nearby waters. Circular 15\/26 is dated August 26 and signed by Deputy Chief Underwriting Officer James Petrie. It says the changes take effect at 12:00 noon Greenwich Mean Time on September 25, 2026.<\/p>\n

From that hour, the Club says it will not pay for loss, damage, liability, cost, or expense caused by listed war risks inside a defined area. The area covers the Red Sea south of latitude 25\u00b030\u2032 North, the Bab el-Mandeb Strait, and wide parts of the Gulf of Aden and the western Indian Ocean. The circular removes the word \u201cSouthern\u201d from the area\u2019s name and moves its northern limit from 18\u00b0 North to 25\u00b030\u2032 North, so the area now covers most of the Red Sea.<\/p>\n

In practice, ships with charterers\u2019 cover, fixed-premium cover, or offshore cover through UK P&I will have no war-risk protection from the Club in those waters. They would need separate war-risk or kidnap-and-ransom insurance. The Club reminded members that a Notice of Cancellation dated February 28 had already excluded Iran and Persian Gulf waters from March 3. A further notice covered the Red Sea and nearby waters from August 16. Circular 15\/26 writes these exclusions into the Club\u2019s standard terms for anyone who renews or relies on those policies after September 25.<\/p>\n

The insurance change comes three days after a sharper warning from NNPC Marine Insurance, a Dutch insurer. On September 22, NNPC said the security situation in the southern Red Sea had deteriorated significantly over the past few days. It said Houthi forces had further strengthened their position around Bab el-Mandeb. According to the update, Houthi forces had in a short time captured the port city of Mokha, Perim Island (Mayun) at the narrowest point of the strait, and the Greater and Lesser Hanish Islands.<\/p>\n

NNPC based that list on \u201crecent reports,\u201d and Mereja has not independently confirmed it. The insurer said UK Maritime Trade Operations and the Joint Maritime Information Center continue to warn of attacks. They also warn of interference with ships\u2019 satellite navigation and tracking signals, which NNPC said may complicate navigational safety and search-and-rescue operations.<\/p>\n

NNPC advised members to avoid the southern Red Sea, Bab el-Mandeb, and the Gulf of Aden where possible. When a voyage through the area cannot be avoided, members should tell the insurer early. NNPC said this lets it check whether extra war-risk or kidnap-and-ransom cover is required and available.<\/p>\n

Most of Ethiopia\u2019s imports and exports by sea move through the Djibouti corridor, which connects to the Gulf of Aden and the southern Red Sea. Shipping companies serving the Horn of Africa have been rerouting around the Red Sea since Houthi attacks on commercial ships increased in late 2023 and 2024. Coffee, oilseeds, and other Ethiopian exports leave through the same corridor that brings in fuel, wheat, medicine, and fertilizer.<\/p>\n

From midday on September 25, UK P&I is excluding listed war risks in most of the Red Sea and wide parts of the Gulf of Aden under its charterers, fixed-premium, and offshore terms. NNPC is telling its members that Houthi positions around the strait have grown stronger and that interference with navigation signals remains a threat.<\/p>\n

Sources:<\/strong><\/p>\n