Insurers Raise Premiums Amid Middle East Conflict in 2026

As missile strikes and drone attacks in the Strait of Hormuz escalate, 22 ships were attacked since the start of the conflict until mid-April 2026. Many companies in the region have opted for terrorism and sabotage coverage instead of war insurance, risking uninsured losses. Insurers have boosted premiums for transits through the area, leading shipping firms to reroute vessels, incurring additional weeks and significant fuel costs. The legal and political definitions of 'war,' as stated by President Trump, could impact insurance claims significantly.