Cup half full?

I AM in general an optimist but that can be a hard thing to maintain, particularly if you are a marine insurer working in 2023.

Launched as a new entity on the P&I industry’s 20 February renewal date, with an enhanced rating from S&P Global

As our authors explain, the triple whammy of Brexit, the Ukraine war and Covid-19 has turned the world that we know upside down. Whether it be waves of sanctions, soaring inflation or supply chain challenges, the insurance markets have been hit from all sides. We also take a look at that bleak dark world of rule-breakers and the way that the industry is using technology to track vessels which have deliberately gone dark to avoid the sanctions ruled being applied to Russia.

However, as an optimist, I would like to think the green shoots of recovery may appear this year. There are small signs that the inflation rates are falling and also that the supply chain disruption is diminishing. Sadly, it seems we are also getting used to the new normal of a war in Europe and the sanctions environment that has erupted around it.

So, how do we look ahead with optimism? It seems that insurers are also recognising a wealth of emerging opportunities. The renewables space continues to be a hotbed of innovation – wind power is hardly new for the marine world but the latest applications are none the less intriguing.

There is also a concerted effort to improve casualty rates through prevention – and in this issue we take another look at liquefaction and how to prevent the problem occurring. We also take a look at engine failure, after a spell in a repair yard. This problem is all too frequent but can lead to long and costly disputes – another event best avoided wherever possible.

Technology overall continues to play its part in the evolution of the market but, as we hear, without the proper ground work it is never going to be the solution that truly delivers. Technology no doubt will be playing its part as two giants of the P&I world come together and start work as a new combined entity, promising some stability and resilience for their clients in the years ahead.

Finally, we hear the importance of keeping your vessel clean and safe – something that surely should be obvious but is clearly not. A simple message that insurers can share with their insureds and potentially prevent yet another claim.

In all, it seems there is plenty of good work going on….I think I can remain a cup half full type for now.

Enjoy the read

Liz Booth Editor, The Marine Insurer