Hormuz fertiliser shock could trigger losses for the PVT market

The closure of the Strait of Hormuz and the consequent supply chain disruption affecting food supply and production are creating the conditions for future economic distress and civil unrest which will impact political violence insurers 

AS THE conflict in the Gulf wears on, the political violence, marine and aviation war insurance markets remain in the front line, earnestly recalibrating pricing models and bearing the brunt of early notifications. What is far less clear is where other insured losses will occur, and which classes will be obliged to respond. The political violence and terrorism (PVT) market is receiving notifications under war-specific covers but little else — yet.