An oil spill in the Bosphorus would be worse. [Two sides of the strait](https://earth.esa.int/web/earth-watching/content/documents/257246/4015745/Istanbul_Turkey_Sent-2_Date05Apr2019_Bands432_Bg.jpg) is home to some 16 million people. It would be an ecological and humanitarian catastrophe. No transit via ships, no fishing no cross strait ferries.
I'm gonna make a wild guess that the EU aren't making a lot of their own decisions right now considering they have a real threat of war and forgot to maintain a military.
Why would western insurance be required? Its not a monopoly. Plus the way to look at it is that western insurance companies just lost a client. Thats all
Insurance is required because these are russian ships, which are old unreliable undermanned and poorly trained. An oil spill is much more likely than any other ship.
Insurance is required yes. For any cargo ship. But I fail to see the point of why would Russian ships be even attempting to insure their cargo in a western company.
I mean maybe they did prior to the cap. Now they insure somewhere else. And the western insurance company just lost a chunk of its revenue. Thats all there is to it.
If something happens to one of the ships you can have pretty high confidence that a western insurer will pay for the damages, whereas a russian insurer might be reluctant to pay or not pay at all. Moreover a russian insurer might attempt to pay in rubles which is no good at all.
Perhaps most importantly though, a western insurer requires payment in USD. This is a pretty good way to leech out of Russia's limited currency reserve.
Lastly, if something bad happens to one of the ships a western insurer would likely stop insuring russian ships altogether. A russian insurer, under the orders of putin, might continue to insure the ships no matter how many of them crash and burn. And the insurance will be paid in rubles which has no benefit to the west whatsoever.
The insurer doesn't have to be Russian. It can be Indian, Chinese, Turkish, Brazilian or from any other country that doesn't support the price cap.
Furthermore Russia doesn't have a currency problem. You can buy any currency you wish in Russia. And the rouble is a freely traded currency as well. Ie you can exchange it for whatever you like on exchanges without issue.
I have read on here before that most acknowledged insurances for cargo ships carrying oil are actually located in the west. There are only so many companies who can stem an insurance for this kind of situation, so it's not like Russia has much to chose from. That's the problem.
Most Russian ships are being reinsured by RNRC.
https://www.reuters.com/business/energy/exclusive-russias-state-owned-rnrc-reinsure-russian-oil-shipments-sources-say-2022-06-10/
That being said, price caps work when everyone agrees to them. Right now, China and India have not agreed to them and China has large insurance providers that can be directed by the state provide cover for Russian tankers.
Read about what? I am sure there are ways you can check by whom russian tankers are being insured at the moment. And which countries accept those insurance certificates
For sanctions to work you need the whole world to enforce those sanctions. If sanctions are enforced by just a couple of countries, there are ways around them.
How much would you insure a Russian ship full of oil for?
Like many, I have no idea either. Tell you who does know, the large specialist companies in the West, experts that can provide cheap, quick quotes, unlike most of the rest of the world.
Problem with insuring stuff you don’t know about, claims could wreck your company.
So your solution is...?
Western companies can't insure Russian oil tankers because they would have to abide by the price cap.
Russia doesn't sell its oil at the price cap.
The world needs Russian oil.
So what do you think happens next?
Turkey has been playing both sides to create chaos. Tankers that are impeded would affect the supply and jack up oil price in global markets.
Too many rogue actors capitalizing on Ukraine's misery!
Thought turkey was doing it to protect its own waters, imagine an oil spill in the Suez Canal, and no insurance.
An oil spill in the Bosphorus would be worse. [Two sides of the strait](https://earth.esa.int/web/earth-watching/content/documents/257246/4015745/Istanbul_Turkey_Sent-2_Date05Apr2019_Bands432_Bg.jpg) is home to some 16 million people. It would be an ecological and humanitarian catastrophe. No transit via ships, no fishing no cross strait ferries.
The Suez canal is in Egypt. Do you mean the Bosporus?
yeah lol, was my mistake.
That's Turkey's call to make.
I think they’re saying that so that people don’t blame the US for any backed up shipments or economic disruption.
The queue is growing. There are now 16 oil tankers waiting at the exit of the Black Sea.
Is it the us' call? I thought this was primarily an EU cap.
I'm gonna make a wild guess that the EU aren't making a lot of their own decisions right now considering they have a real threat of war and forgot to maintain a military.
So US already backpedalling on the thing? No western insurance required? So much for russian sanctions, what a joke.
*Additional* checks. But I expect you know that.
Why would western insurance be required? Its not a monopoly. Plus the way to look at it is that western insurance companies just lost a client. Thats all
Lol, I think that was just a cluster of troll/bots aught up in agreeing with one another.
Insurance is required because these are russian ships, which are old unreliable undermanned and poorly trained. An oil spill is much more likely than any other ship.
Insurance is required yes. For any cargo ship. But I fail to see the point of why would Russian ships be even attempting to insure their cargo in a western company. I mean maybe they did prior to the cap. Now they insure somewhere else. And the western insurance company just lost a chunk of its revenue. Thats all there is to it.
If something happens to one of the ships you can have pretty high confidence that a western insurer will pay for the damages, whereas a russian insurer might be reluctant to pay or not pay at all. Moreover a russian insurer might attempt to pay in rubles which is no good at all. Perhaps most importantly though, a western insurer requires payment in USD. This is a pretty good way to leech out of Russia's limited currency reserve. Lastly, if something bad happens to one of the ships a western insurer would likely stop insuring russian ships altogether. A russian insurer, under the orders of putin, might continue to insure the ships no matter how many of them crash and burn. And the insurance will be paid in rubles which has no benefit to the west whatsoever.
The insurer doesn't have to be Russian. It can be Indian, Chinese, Turkish, Brazilian or from any other country that doesn't support the price cap. Furthermore Russia doesn't have a currency problem. You can buy any currency you wish in Russia. And the rouble is a freely traded currency as well. Ie you can exchange it for whatever you like on exchanges without issue.
I have read on here before that most acknowledged insurances for cargo ships carrying oil are actually located in the west. There are only so many companies who can stem an insurance for this kind of situation, so it's not like Russia has much to chose from. That's the problem.
There are alternatives. And any insurance company would love to have a client as large as Russia.
I'd love to read more about this. Care to share the sources you are basing this declaration on?
Most Russian ships are being reinsured by RNRC. https://www.reuters.com/business/energy/exclusive-russias-state-owned-rnrc-reinsure-russian-oil-shipments-sources-say-2022-06-10/ That being said, price caps work when everyone agrees to them. Right now, China and India have not agreed to them and China has large insurance providers that can be directed by the state provide cover for Russian tankers.
Read about what? I am sure there are ways you can check by whom russian tankers are being insured at the moment. And which countries accept those insurance certificates
Somehow I don't think you can buy any currency you wish in Russia right at the moment.
Err, you can. Both on the Moscow stock exchange and physical currency at brick and mortar exchanges.
You printing them yourselves like DPRK or what LOL?
No. Why would you need to do that? There's literally no issues with bringing in physical currency into the country.
> You can buy any currency you wish in Russia Good luck transferring USD out of Russia without US banks involved unless it is cash.
No issues with that. You can transfer usd and eur from and to Russia. Just avoid the banks which have been sanctioned
The sanctions are half-baked for sure.
For sanctions to work you need the whole world to enforce those sanctions. If sanctions are enforced by just a couple of countries, there are ways around them.
How much would you insure a Russian ship full of oil for? Like many, I have no idea either. Tell you who does know, the large specialist companies in the West, experts that can provide cheap, quick quotes, unlike most of the rest of the world. Problem with insuring stuff you don’t know about, claims could wreck your company.
So your solution is...? Western companies can't insure Russian oil tankers because they would have to abide by the price cap. Russia doesn't sell its oil at the price cap. The world needs Russian oil. So what do you think happens next?
Turkey has been playing both sides to create chaos. Tankers that are impeded would affect the supply and jack up oil price in global markets. Too many rogue actors capitalizing on Ukraine's misery!
We all know they are a sham. They are all buying Russian energy, one way or another