Shipowners are seeking alternative routes along the territorial waters of NATO countries
The cost of insuring vessels moving through the Black Sea is rising to the level of 0.6–1% of the total vessel value. A week earlier, these rates fluctuated within the range of 0.2–0.5%. This was reported by USM — ports and shipping citing Gennadiy Ivanov, according to the portal PromPolitInform.
Insurance market participants are reviewing policy terms for traversing the Black Sea. Current war risk insurance rates significantly exceed the figures recorded just a few days ago.
BPG Shipping Director Gennadiy Ivanov explained that when applying a 50% No Claims Bonus, the actual premium for operators is currently around 0.3–0.5%. The previous indicator under the same discount was half as much, at approximately 0.1–0.25%.
Alternative shipping routes
Against the backdrop of rising financial guarantee costs, some shipowners are considering passage through the territorial waters of Bulgaria, Turkey, and Romania. This 12-mile zone is not covered by the extended war risk area defined by the Joint War Committee.
Choosing such a route avoids additional war risk insurance expenses, but it significantly increases the distance. According to Gennadiy Ivanov’s estimates, the Istanbul-Constanta journey via these territorial waters is approximately 90–100 nautical miles longer than a direct route.
The additional distance for a round trip reaches 180–200 miles. Taking into account vessel chartering costs and fuel consumption, this can increase the total cost of a voyage by approximately $20,000.
Change in war risk zones
The situation in the maritime market intensified after September 2026, when almost the entire Black Sea was included in the high war risk zone, with the exception of the territorial waters of certain coastal states, forcing businesses to adapt to new economic realities.
Photo: USM — ports and shipping
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