The crisis in the Middle East has already left a heavy imprint on the international shipping community

A clear warning over rising geopolitical pressure on global shipping, its impact on the insurance market, and the need for a realistic approach to decarbonization was delivered by Ilias Tsakiris, Chairman of the Ocean Hull Committee of the International Union of Marine Insurance (IUMI), speaking at the Delphi Economic Forum XI.

The crisis in the Strait of Hormuz dominated the agenda on the opening day of the forum. The discussion focused on geopolitical developments across the broader Middle East, the strategic role of the Strait of Hormuz as a key artery of global energy trade, and the consequences already being recorded for shipping, crew safety and the international insurance market.

Tsakiris outlined the evolving situation in the region, stressing that the crisis has already left a significant mark on the global shipping community. “We are already talking about 24 confirmed attacks on commercial vessels, 10 confirmed seafarer fatalities and approximately 20,000 seafarers affected in the region. At the same time, damage to energy infrastructure is now estimated at 25-58 billion euros. The risk is not theoretical. The consequences are already here,” he said.

He also placed particular emphasis on how geopolitical tensions translate directly into higher insurance and operating costs for the shipping industry.

As he explained, the insurance market does not operate solely on the basis of past events, but primarily on the risk of further escalation.

“War creates uncertainty, increases operational risks and heightens fears of sudden escalation. This affects the entire functioning of shipping — from freight rates and voyage management to crew safety and, of course, insurance costs,” he noted.

Despite the sharp increase in costs, he clarified that insurance coverage remains available even in high-risk areas, albeit under much stricter and more selective terms.

“The question is not whether insurance is available. The real question is whether it can remain commercially viable,” he stressed.