TOKYO听–听The听闯补辫补苍ese government has asked听颈苍蝉耻谤别谤蝉听to take on additional risks to continue providing听尘补谤颈苍别听飞补谤听insurance for liquefied natural gas (LNG)听蝉丑颈辫辫别谤蝉听in听搁耻蝉蝉颈补苍听waters, a senior official at the industry ministry said.
The Financial Services Agency and Agency for Natural Resources and Energy made the rare request in a joint letter to the country’s general insurance association. Tokyo wants to ensure听闯补辫补苍聽will continue to import听尝狈骋听from the Sakhalin-2 project in Russia, the official told Reuters.
“The FSA and ANRE have asked听颈苍蝉耻谤别谤蝉听to take actions to continue offering听尘补谤颈苍别听飞补谤听insurance for the shipowners to transport听尝狈骋听from Sakhalin-2 as it is key for听闯补辫补苍ese energy security,” the official said.
The move comes after Tokio听惭补谤颈苍别听& Nichido Fire Insurance, Sompo听闯补辫补苍聽Insurance and Mitsui Sumitomo Insurance on Friday told shipowners that they would stop offering听尘补谤颈苍别听飞补谤听insurance, which听肠辞惫别谤s damage to ships from聽飞补谤听in听搁耻蝉蝉颈补苍听waters, from Jan. 1.
The decisions came as reinsurance companies听飞补谤ned they would no longer take on vessels’ risks related to听飞补谤.
But the three companies said on Monday they are in talks with聽other re颈苍蝉耻谤别谤蝉听to offer听肠辞惫别谤.
The Sakhalin Island complex in Russia’s Far East, partly owned by Gazprom聽and听闯补辫补苍ese trading houses, accounts for 9% of听闯补辫补苍‘s听尝狈骋听imports.
“Securing听尝狈骋听is the top priority for the government, and we asked insurance companies to cooperate in this regard,” an official at the FSA said.
Responding to the letter, spokespersons at Tokio听惭补谤颈苍别, Sompo听闯补辫补苍聽and Mitsui Sumitomo told Reuters they will continue to seek more support from re颈苍蝉耻谤别谤蝉听on the聽飞补谤听coverage so that they can provide听尘补谤颈苍别听飞补谤听insurance next year.
Industry sources have said that听颈苍蝉耻谤别谤蝉听may refuse to听肠辞惫别谤聽planes flying to Ukraine or ships sailing through the Black Sea as re颈苍蝉耻谤别谤蝉听– who insure the听颈苍蝉耻谤别谤蝉听– propose excluding the region from policies from January.
Re颈苍蝉耻谤别谤蝉听typically renew their 12-month contracts with insurance clients on Jan. 1, meaning they have the first opportunity to scale back exposure since the聽飞补谤听in Ukraine started, after being hit this year by losses related to the conflict and from Hurricane Ian in Florida.聽– Reuters
