India allowed more Russian insurers to provide cover for vessels calling at its ports, while extending permits for others, as the closure of the Strait of Hormuz hits energy shipments from the Persian Gulf.
Some 11 Russian insurers that are not members of so-called P&I Clubs are now allowed to provide the services, up from eight last month, according to a listing on the Directorate General of Shipping’s website.
The South Asian nation is the world’s top buyer of Russian crude, and it is leaning more heavily on flows from Moscow as the war between the US, Israel and Iran chokes cargoes through Hormuz. Traffic through the key waterway remains at a near-total halt, with the conflict now in its eighth week. Most Russian shipments to Indian refiners are routed via the Red Sea.
Last week, the Treasury Department extended a waiver allowing foreign buyers to take Russian crude loaded on tankers by about one month to mid-May. The US has been seeking ways to contain crude prices as the war drags on.
Gazprom Insurance Ltd., Rosgosstrakh Insurance Co. and Balance Insurance JSC were added to the directorate’s list. Gazprom and Rosgosstrakh have approvals until Feb. 19, while Balance’s is Aug. 19. Rosgosstrakh is under US sanctions.
Separately, approvals for four insurers — Soglasie Insurance Co. Ltd., Ugoria Group of Insurance Cos., Sberbank Insurance and ASTK Insurance LLC — will remain valid through Feb. 20.
Members of Europe-based International Group of P&I Clubs have traditionally provided cover against third-party liabilities including pollution and cargo damage. However, the association — which provides marine liability cover for about 87% of the world’s ocean-going tonnage — doesn’t cover Russian vessels due to sanctions.