Monrovia has blocked Liberian-flagged vessels from being insured by Russia's Ingosstrakh following significant pressure from Western countries, the Maritime Executive reports.
The Liberian flag is a popular choice for ships in Russia’s so-called ‘shadow fleet,’ a group of vessels used to transport Russian oil despite a wide-ranging sanctions imposed by G7 nations.
The decision to block the Russian insurer follows the UK's latest package of measures designed to crack down on the shadow fleet, which specifically included Ingosstrakh, along with a number of vessels. Liberia’s refusal to authorise the company appears to be a reaction to London’s latest sanctions.
In an advisory issued on June 17, the Liberia Maritime Authority announced that Ingosstrakh is no longer allowed to issue insurance certificates, called 'blue cards,' to Liberian-flagged ships. These certificates are needed for ships to prove their insurance coverage at ports.
To minimise disruption, Liberia has given a temporary grace period of up to 90 days for ships insured by Ingosstrakh to find new insurance. According to Bloomberg, this decision is mainly symbolic, as only three Liberian-flagged vessels are affected.
Liberia, holding 16% of the global ship registry market, is the world’s largest ship registry by tonnage. Russia has historically used registries like Liberia and Panama to avoid sanctions, with entities like Sovcomflot frequently changing vessel registrations. Denying access to recognised insurance providers like Ingosstrakh could create significant challenges for ports globally.
