Chennai, March 12 -- The Iran conflict has increased the likelihood of severe, outsized claims for "specialty" insurers covering marine, aviation, and political violence, but losses are expected to be manageable in a short-lived conflict, a new Moody's report finds.
The concentration of high-value assets in the Gulf region increases the potential for significant loss accumulation compared to other recent geopolitical tensions. While insurers are benefiting from price increases for some coverages, a prolonged conflict remains a key risk factor, Moody's said.
As regards the marine insurance-ship hull and cargo- the insurers have issued "Notices of Cancellation" to reprice war risk cover for ships and cargo.
The potential closure of the Str...