Iran imposes mandatory insurance on ships

Iran has implemented mandatory insurance for vessels transiting the Strait of Hormuz. Shipowners must obtain coverage from the Persian Gulf Strait Authority (PGSA). This move complicates a recent US-Iran Memorandum of Understanding, which guarantees 60 days of toll-free passage. While the insurance is free initially, fees may be introduced afterward.

The PGSA warns that non-compliance could lead to penalties and legal action. Despite an ongoing US-provided corridor, Iran insists on its preferred route. Reactions from tanker owners suggest doubts about Iran's terms sustaining safe transit.