US launches $20B plan for Gulf maritime reinsurance

U.S. International Development Finance Corporation (DFC) CEO Ben Black and U.S. Treasury Secretary Scott Bessent announced today that they have agreed on a detailed implementation plan, approved by President Trump, to deploy Maritime Reinsurance, including war risk coverage, in the Gulf region.

In close coordination with CENTCOM, this plan will restore confidence in maritime trade, help stabilize international commerce, and support American and allied businesses operating in the Middle East during the conflict with Iran, News.Az reports, citing DFC.

This announcement marks a key milestone toward the rapid implementation of President Trump’s directive to utilize DFC’s innovative financial toolkit to safeguard the continued flow of trade.

“I am grateful to President Trump and Secretary Bessent for their support and approval of DFC’s plan to restore confidence in maritime trade and stabilize international markets. Working alongside CENTCOM, DFC coverage will offer a level of security no other policy can provide. We are confident that our reinsurance plan will get oil, gasoline, LNG, jet fuel, and fertilizer through the Strait of Hormuz and flowing again to the world,” said DFC CEO Ben Black.”

Maritime Reinsurance details: 

• DFC reinsurance facility will insure losses up to approximately $20 billion on a rolling basis. 
• This revolving insurance offering will apply only to vessels that meet the criteria. 
• Insurance will focus on Hull & Machinery and Cargo to start. 
• DFC has identified best-in-class, preferred American insurance partners. 
• DFC and Treasury are coordinating closely with CENTCOM on next steps in the implementation of this plan.

DFC will continue to provide additional information as it becomes available. Businesses and financial institutions seeking access to DFC's Maritime Reinsurance product should contact DFC directly at maritime@dfc.gov.

News.Az 

By Ulviyya Salmanli