£10m plan to protect shipping from piracy

JLT Insurance Brokers plans to create a private navy to protect ships from Somali pirates. It proposes a fleet of 20 armed patrol boats, which would cost about £10m.

Insurers and shipping companies will fund the force in return for a reduction in premium. The fleet would escort ships and be able to use force.

Currently, 16 ships and 354 sailors are being held hostage by pirates in the Gulf of Aden. New attacks are expected when the monsoons end.