Hook argued that now that sanctions have been reimposed on Iran’s shipping sector, Iranian tankers calling at international ports and passing through waterways pose a major risk.
Namely, since the U.S. sanctions also cover the provision of underwriting services, insurance, and re-insurance, Iranian vessels have lost access to insurance on the international market.
As a result, Iran is likely to turn to domestic insurance providers such as Kish P&I. However, Hook believes that the ability of Iranian insurers to cover damages for major losses such as those caused by oil spills would be inadequate.
