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Oil tanker insurance costs to jump after Gulf attacks

The Joint War Committee, a group that advises insurers, designated the entire Persian Gulf and waters just outside it a so-called Listed Area after the incidents a month ago. The classification gives underwriters room to charge more. As of Thursday, owners were reluctant to send vessels to the region while there was also a dearth of cargoes, according to traders and shipbrokers involved in that market, who spoke on condition of anonymity.

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Suspected attack on 2 oil tankers near Strait of Hormuz stokes fears of War

The prospects of a conflict have spiked since the Trump administration tightened in early May its sanctions on Iranian oil exports. Trump abandoned a year ago the 2015 deal that was meant to prevent Iran from developing a nuclear bomb and reimposed sanctions in a bid to force the Islamic Republic to rein in its military program and proxy militias. Facing economic catastrophe, Iran has threatened to retreat from the accord itself unless European parties throw it an economic lifeline.

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