India Establishes Bharat Maritime Insurance Pool to Support Shipping Industry
Bharat Maritime Insurance Pool: How Will This Help India's Ships Or Those Entering Country's Ports?
News 18
Image: News 18
The Indian government has approved the creation of the Bharat Maritime Insurance Pool (BMI pool) with a sovereign guarantee of ₹12,980 crore to provide affordable maritime insurance. This initiative aims to support Indian vessels and those entering Indian ports amidst rising global maritime risks and geopolitical instability.
- 01The BMI pool will have a sovereign guarantee of ₹12,980 crore.
- 02It aims to provide continuous maritime insurance for Indian and foreign vessels.
- 03The pool will cover various maritime risks, including Hull and Machinery and War risk.
- 04Insurers will utilize a combined underwriting capacity of around ₹950 crore.
- 05The initiative is designed to enhance local marine underwriting and claims management expertise.
Advertisement
In-Article Ad
The Union Cabinet of India has approved the establishment of the Bharat Maritime Insurance Pool (BMI pool), backed by a sovereign guarantee of ₹12,980 crore. This initiative is intended to ensure that Indian trade maintains access to affordable insurance for vessels transporting cargo to and from Indian ports, particularly amid increasing global volatility and geopolitical tensions. The BMI pool will cover a range of maritime risks, including Hull and Machinery, Cargo, Protection and Indemnity (P&I), and War risk. Insurers that are members of the pool will issue policies using a combined underwriting capacity estimated at ₹950 crore. Additionally, the BMI pool aims to enhance local liability insurance management tailored to Indian shipping conditions and develop specialized expertise in marine underwriting and claims management within the country.
Advertisement
In-Article Ad
The establishment of the BMI pool will provide Indian shipping companies with more stable and affordable insurance options, potentially reducing costs for shipping goods and enhancing trade security.
Advertisement
In-Article Ad
Reader Poll
Do you think the Bharat Maritime Insurance Pool will improve shipping insurance in India?
Connecting to poll...
Read the original article
Visit the source for the complete story.