Economy, Business And Markets

Iranian Ships Receive P&I Club Coverage

IRISL faces no restrictions in the international marine transportation sector.IRISL faces no restrictions in the international marine transportation sector.

Nine Iranian ships have received coverage from the Steamship Mutual Underwriting Association Limited of P&I Clubs since 31 July 2016, Islamic Republic of Iran Shipping Line announced on Tuesday.

“Now we can claim that there are no restrictions on IRISL's operations in international marine transportation,” Mohammad Reza Banaei, director of IRISL’s Insurance Brokerage, was quoted as saying by IRISL’s website.

Steamship Mutual is one of the largest and most diverse P&I Clubs in the world and a member of the International Group of P&I Clubs participating in the International Group Pool.

The covered ships belong to Valfajr Shipping Company, a subsidiary of IRISL. The company was established as an independent corporate entity in 1989. Valfajr is the first shipping company specialized in passengers and cargo carriage in the Persian Gulf and Oman Sea after the 1979 Islamic Revolution in Iran.

“Since the lifting of sanctions in January, we have been trying to transfer the risks of shipping in the two categories of Hull Machineries and Protection Indemnity to foreign insurers,” Banaei added.

"Using internationally recognized insurance companies and rating agencies is vital, as they would help us regain the trust of our clients and expand Iran's share of the international marine transportation market.”

Banaei also noted that supporting Iranian insurance companies is a priority for IRISL.

“Talks are underway with the Central Insurance of Iran to make use of domestic insurers’ coverage as well,” he said.

Earlier, Seyyed Mohsen Qamsari, deputy for international affairs at the state-run National Iranian Oil Company, stressed that nine members of the 13-member P&I group have agreed to cover the insurance risk of Iranian tankers.

Iran has been using Kish P&I, backed in part by the government, for shipping insurance during the sanctions.