Iran - sanction-busting

Iran launches international insurance company to insure its oil tankers

Iran oil industry has launched an international insurance company to insure the tankers transporting its crude oil across the globe.

IBR,

24 December, 2012

Iranian Oil Minister Rostam Qassemi was quoted by English.farsnews.com as saying that after international sanctions, the country decided to set up its own insurance company for oil tankers.

"The first step to confront these sanctions was establishing an international insurance company which insures Iranian oil tankers and we have taken effective measures to get rid of these sanctions, and it is now evident that we have left behind the difficult conditions of the early days of the sanctions," Qassemi added.

Earlier this month, Iranian Mualem Insurance Company managing director said his firm has begun insuring domestic oil tankers after the US and the EU banned the tankers shipping Iranian crude shipments.

He further said that his company is solely responsible for delivering protection and indemnity (P&I) insurance to Iranian tankers.

Out of 25 insurance companies trading in Iran, only one is privately owned, while rests are controlled by the government.

Iran is facing US and European ban over its disputed nuclear program and under pressure from the US, the EU foreign ministers approved new sanctions against Iran's oil and financial sectors in January.

A new ban, which came into force on 1 July 2012, prevents EU member states from buying Iran's oil or extending insurance coverage to tankers that carry Iranian crude oil.