Turkish Straits Insurance Issue Resolved

The Turkish government and insurers have reached an agreement to enable crude oil vessels to pass the Turkish waters unhindered, according to Norwegian ship insurer Gard.

• “Following significant engagement between the International Group of P&I Clubs (IG) and the government of Turkey, an agreement has been reached allowing ships carrying crude oil cargoes to continue their voyages through Turkish-controlled waters,” Gard, a member of the International Group, said.
• Four vessels are yet to provide insurance letter to pass the Turkish straits, down from 13 a day prior.
• Western insurers have said the regulations would mean they would have to provide cover even in the event of a ship being in breach of sanctions, which is something they were not prepared to do.
• The revised letter template, seen by Reuters, showed the wording had changed which indicated that insurers would not bear liability in all circumstances.