Previously, “kidnap for ransom” insurance was mainly taken out by senior managers of large companies when they went on business trips to dangerous regions. The new insurance has been designed specifically for seafarers and passengers.
In recent years, the number of attacks on ships for the purpose of kidnapping people and subsequently demanding ransom has risen sharply. The most brazen kidnapping took place last year in the Strait of Malacca, when bandits attacked a Japanese ship and abducted Japanese citizens. A ransom of 50 million yen was paid. After that, Japan tried to seriously address security in the strait, but ran into stubborn resistance from Indonesia and Malaysia – the latter are so afraid for their independence that they prefer not to fight piracy rather than enlist the help of third countries. The situation was again turned around by insurers, who equated the Strait of Malacca to a war zone.
The situation is even more dangerous in Somalia. There, they kidnap not just individual ships, but entire fishing fleets. The most famous case is the abduction of several Thai fishing vessels at once. Since March of last year alone, 32 pirate attacks have occurred off the coast of Somalia. Recently, the cruise passenger liner Seabourn Spirit repelled an armed attack by local pirates.
Thus, insurance for seafarers and passengers against kidnapping could not be more relevant. For their part, insurance companies will check the ship’s readiness: experience shows that if the ship has a well-developed anti-attack system, in most cases it is possible to fight off or escape. If capture does occur, the insurance company will also not sit idly by – London insurers have enormous opportunities to bring in both professional negotiators and mediators, and special forces, whether state or private.