Car carriers could become an uninsurable class, following a recent spate of losses. The high profile sinking of the Tricolor last December is just one of many recent casualties. British marine underwriter Peter Christmas said underwriters are "concerned" about the frequency of losses, as "three or four have occurred recently".
The sinking of the Tricolor will cost insurers three times the original estimate of £55m. Christmas said "some" of the loss would be borne by the London Market, with the majority falling on Norwegian insurers. Reinsurers will be hit quite hard, though, with Munich Re taking "quite a big share".
