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Ukraine to Introduce a Ship Insurance System in the Black Sea

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Ukraine is finalizing a scheme with global insurers for the insurance of grain ships traveling to and from Black Sea ports. Ukraine’s Deputy Economy Minister Oleksandr Hryban told the Financial Times.

Hryban said that the agreement is “currently being worked out and actively discussed” between the relevant ministries, as well as local banks and international insurance groups, including Lloyd’s of London.

The scheme could be in place as early as next month, with five to 30 ships passing through what he called a “dangerous place” in Ukrainian waters.

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Last month, Russia pulled out of the UN-brokered grain deal and said it would treat any civilian vessel leaving Ukrainian ports as a military target.

However, under the cover of Ukraine’s coastal defense systems, the cargo ship managed to make its first commercial voyage from Odesa after Moscow’s threat. Earlier, Ukraine announced the creation of a “humanitarian corridor” in the Black Sea to free cargo ships trapped in its ports after Russia withdrew from the grain deal.

Ukraine has already insured ships exporting and importing goods through the Danube ports.

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