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Japan's Government Urges Insurers to Cover LNG Ships in Russian Seas

Haiden Holmes

Dec 27, 2022 17:19

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A senior official from the industry ministry stated that the Japanese government has encouraged insurers to assume greater risks in order to continue offering maritime war insurance for liquefied natural gas (LNG) shippers in Russian seas.


The request was made in a letter from the Financial Services Agency and the Agency for Natural Resources and Energy to the country's general insurance organization. The person told Reuters that Tokyo wants to ensure that Japan would continue to purchase LNG from the Sakhalin-2 plant in Russia.


On Monday, three Japanese insurers announced that they are in talks with reinsurers to resume marine coverage of risks related to the conflict in Ukraine, effective the beginning of the following month. The insurers are set to suspend coverage of risks related to the conflict in Ukraine beginning in the month of April.

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