[美-이란 군사충돌] U.S. seeks $20 billion in reinsurance support to resume Strait of Hormuz navigation
View enlarged image
The U.S. Donald Trump administration is pushing for a large-scale reinsurance support program to resume shipping in the Strait of Hormuz, which has been virtually blocked by the war in the Middle East.
The Financial Times (FT) reported on the 7th (local time) that this is a measure to establish financial safety measures at the government level as anxiety in the international energy market grows due to the paralysis of energy transportation and maritime logistics.
According to the FT, the U.S. Development Finance Corporation (DFC) has decided to establish a reinsurance support system worth up to $20 billion (about 28.9 trillion won). The system aims to resume maritime cargo and crude oil transport, which was halted due to the de facto blockade of the Strait of Hormuz following US and Israeli airstrikes on Iran.
DFC CEO Ben Black and U.S. Treasury Secretary Scott Besant unveiled this plan the day before. This follows U.S. President Donald Trump’s order to establish political risk insurance and financial guarantee mechanisms to maintain the flow of energy supply. President Trump said the U.S. Navy could escort oil tankers through the strait if necessary.
“This reinsurance program will help restore confidence in maritime trade and stabilize international markets,” Black said.
◇De facto blockade of the Strait of Hormuz in the aftermath of the Middle East war
Currently, navigation in the Strait of Hormuz is virtually blocked due to the aftermath of the war with Iran. Iran has warned that it will attack ships passing through the strait.
According to Lloyd’s Market Association, an insurance industry group, as of the 6th, about 500 oil and gas carriers were stranded in the Gulf Sea and nearby waters. The number of oil tankers that actually passed through the strait this week is less than 50.
The Strait of Hormuz is a key passage through which approximately one-fifth of the world’s crude oil supply passes. For this reason, resumption of flights has emerged as a key task for stabilizing the international energy market.
In particular, the surge in gasoline prices is a political burden for President Trump ahead of the midterm elections in November. The average gasoline price in the United States is currently $3.32 (about 4,800 won) per gallon, the highest since mid-2024.
◇Possibility of expansion of reinsurance support… Insurance market stability expected
DFC announced that the scale of reinsurance support will be up to $20 billion at a certain point in time, but that it can be expanded depending on the situation. This program operates by working with U.S. insurance companies to diversify risks for operating vessels.
This agency plans to work closely with the U.S. Central Command, which is responsible for U.S. military operations in the Middle East. “The DFC coverage we provide in partnership with Central Command will provide a level of safety that no other insurance can provide,” said CEO Black.
The insurance will focus on risks to the ship’s hull, machinery and cargo and will be applied during the short period the ship transits a war zone.
DFC officials explained that the program is “being designed to fit the insurance structure needed by the market to restart maritime shipping.”
◇Insurance costs soar… Key to resuming oil tanker operations
Recently, concerns have been raised in the insurance and energy industries that there is not enough underwriting capacity to cover war risks.
JP Morgan analyzed that a total of $352 billion (approximately KRW 508.6 trillion) is needed to fully insure 329 oil tankers in the Gulf Sea, but the funds that DFC can actually access are approximately $154 billion (approximately KRW 222.5 trillion).
A DFC official refuted this, saying, “JP Morgan calculated it based on a broader insurance scope,” and added, “The agency will focus on hull, equipment, and cargo risks.”
Marcus Baker, global head of maritime and logistics at Marsh, the world’s largest insurance brokerage, said, “If additional capital flows into the war insurance market, it is likely that premiums will be lower for ship owners.”
However, there are concerns that even with US Navy escort, the tanker may be exposed to attack by Iranian forces. Iran has the ability to attack using rocket-equipped speedboats, anti-ship missiles, drones, and mines.
During the so-called ‘Tanker War’ in the 1980s, Kuwaiti oil tankers changed their registration to American nationality and passed through the strait escorted by about 30 US Navy destroyers.
Kim Hyeon-cheol, Global Economics Reporter rock@g-enews.com
