LONDON, April 26 (Reuters) – The London marine insurance market has added Sudan to its territories, which this week were classified as a high-risk area amid further fighting in the conflict-torn African country, a note said.
Adding Sudan to the high-risk list means that all ships entering the country must pay an additional war risk premium and also obtain approval from their insurer.
Advisory advice from the Joint War Committee, made up of syndicate members from Lloyd’s Market Association and representatives of the London insurance market, is closely monitored and influences insurers’ thinking about insurance premiums.
Fighting in Sudan since April 15 has killed hundreds of people, sparked a humanitarian crisis that has seen thousands flee their homes and prompted foreign countries to evacuate their citizens amid fears of a full-scale civil war.
Port Sudan accounts for the majority of the country’s international trade.
“There is an increased threat of military activity around the port, so there is at least a significant threat from cluster munitions during operations in Port Sudan,” said insurer Skuld.
Leading global container lines AP Moller Maersk and Hapag Lloyd announced this week that they are no longer taking new bookings for Sudan.
Maersk said the ongoing clashes “had a significant impact on logistics operations in the country”.
“The current political unrest in Sudan poses challenges for the supply chain,” said Hapag Lloyd separately.
(Reporting by Jonathan Saul; Editing by Alison Williams)
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