War insurance costs for ships sailing to the Black Sea surged, nearly doubling after two Greek-managed oil tankers were struck by unidentified drones while en route to load crude at a terminal on Russia’s coast, according to multiple industry sources.
The Black Sea remains a critical artery for global shipments of grain, crude oil, and refined products. Its waters border Bulgaria, Georgia, Romania, and Turkey, alongside Russia and Ukraine, placing commercial shipping directly amid an active conflict zone.
The latest attacks pushed insurers to reassess risk levels for vessels calling at both Ukrainian and Russian terminals. War-risk premiums for Black Sea port calls climbed to about 1% of a vessel’s insured value, up from roughly 0.6%–0.8% in late December.
The jump marks the highest pricing since 2023, when a series of drone strikes on tankers linked to Russia drove rates sharply higher.
Munro Anderson, head of operations at Vessel Protect, part of Pen Underwriting, said sudden escalation has become characteristic of the region. He noted that risk now shifts quickly, often without clear warning signals, leaving insurers and shipowners scrambling to adjust.
Vessels entering Russian or Ukrainian Black Sea ports, including terminals near the Sea of Azov, must purchase additional war-risk cover.
These policies usually apply for seven days, but insurers are now reviewing terms every 24 hours. Just a month ago, reviews typically occurred every 48 hours, reflecting a more stable, though still tense, operating environment.
David Smith, head of marine at insurance broker McGill and Partners, said Black Sea war rates have turned highly volatile, with pricing shifting day by day. He said current quotes are spiking in response to recent incidents and could exceed 1%, depending on vessel value, ownership structure, and intended port of call.
The perpetrators behind drone strikes remain unidentified. The attack hit a terminal that handles roughly 80% of Kazakhstan’s oil exports to international markets, underscoring how regional security incidents continue to ripple far beyond the immediate conflict zone.
In January, a Russia-bound oil tanker reported a drone attack in the Black Sea and diverted after requesting help from Turkish coastguard authorities, according to a notice from Lloyd’s List Intelligence.
The Palau-flagged vessel Elbus encountered an unmanned marine vehicle and drone attack on Wednesday. The strike targeted the engine room.
No injuries were reported among the 25 crew members, and no pollution was detected.
A maritime security source described the incident as a drone attack based on its assessment. Responsibility remains unclear. No group or state has claimed involvement, and attribution stayed unresolved.
The incident comes after shipping insurance rates climbed in late November, following Ukrainian naval drone strikes on two Russia-bound tankers in the Black Sea.