London-based insurer Miller has tapped the vessel-tracking technology of partner Clearwater Dynamics, a UK technology firm specialized in shipping, to launch war-risk insurance in conjunction with the Ukrainian government, for ships carrying Ukrainian grain exports on the Black Sea.
The coverage, which Miller says is backed by Lloyd’s and A-rated London market insurers, is meant to re-allow Ukrainian grain exports after Russia pulled out of an earlier agreement that allowed sailings from three Black Sea ports.
The coverage relies on "advanced vessel tracking combined with 24/7 operations room monitoring and vessel reporting in the grain corridor, both while in transit and with continued support whilst in port and until vessels exit the high-risk area," Miller said in a press release.
"This gives another layer of security to insurers and underwriters with live oversight of all vessels in the area, as well as the ability to monitor their exposures in real time," the company said.
Admiral Sir Trevor Soar, advisor to the board of Clearwater Dynamics, which specializes in internet-of-things technology and vessel tracking, said the technology helps "by substantially enhancing confidence in the knowledge that vessels are being actively monitored whilst operating in a War-Risk area."
A general lack of war-risk insurance is an impediment to private investment in the reconstruction of Ukraine. The topic of discussion between foreign governments, international lenders such as the European Bank for Reconstruction and Development, and Ukrainian authorities.
