New marine insurance solution for Ukrainian grain corridor announced

(Re)insurance broker Miller has teamed up with vessel tracking specialist Clearwater Dynamics (CWD) to provide a new insurance solution for ships operating in the Black Sea.

A statement released yesterday (27 September 2023) said the solution would use CWD’s technology to enable advanced vessel tracking combined with 24/7 operations room monitoring.

This will give insurers and underwriters live oversight of all vessels in the area, as well as the ability to monitor their exposures in real time.

As a result, ships will have full insurance coverage when operating through the Ukraine grain corridor.

Nick Summers, head of direct marine at Miller, said: “Insurance has a critical role to play in enabling the shipping of Ukrainian grain and we are proud to have been able to play a role in providing an industry-wide solution.

“Working closely with CWD, we have been able to show the huge real world impact that insurance can have by combining technology with deep sector expertise.

“By using CWD technology and operational support we can give underwriters the information they need to insure vessels as they travel through the corridor.

“We are open to all enquiries and look forward to helping Ukraine resume the vital international shipping of its grain.”

Backing

This came after the Black Sea Grain Corridor, an agreement brokered by the United Nations last year, ended in July when Russia said it would no longer guarantee the safety of vessels because – it alleged – parts of the agreement had been breached.

To ensure insurance protection for ships operating in the Black Sea, the new solution from Miller and CWD will be backed by Lloyd’s and A-rated London market insurers, who will provide insurance capacity to cover the policies in full.

Admiral Sir Trevor Soar, advisor to the CWD board, said: “By substantially enhancing confidence in the knowledge that vessels are being actively monitored whilst operating in a war-Risk area, this partnership will help enable safer passage of merchant ships from Ukraine and facilitate movement of grain to support a growing humanitarian need for grain export.”