The Association has received a notice from its reinsurers regarding a change in the terms of coverage for war risks, expanding the Red Sea designated area. Accordingly, the Association hereby issues a corresponding notice by means of this Circular.

This notice applies to war risks coverage under charterers' entries, fixed premium P&I entries, and any additional insurance covers (including additional covers attached to mutual P&I entries) to which the “P&I War Risks Clause for Special Cover” applies.

This notice does not apply to mutual P&I entries (including the Excess War P&I cover) and FD&D cover.

This notice is given effective from 24:00 hours GMT on 12 August 2026, and upon the expiry of 72 hours at 24:00 hours GMT on 15 August 2026, Clause 4(4) of the “P&I War Risks Clause for Special Cover” will be amended as follows (amendments underlined):

“P&I War Risks Clause for Special Cover”

4 In respect of war risks, this insurance excludes all loss, damage, liability, cost or expense:

(4) occurring within the area of the Indian Ocean, Gulf of Aden and Southern Red Sea. The waters enclosed by the following boundaries:

1. on the northwest, by the Red Sea, south of Latitude 25°30’N
2. on the northeast, from the Yemen border at 16°38.5’N, 53°6.5’E to high seas point 14°55’N, 53°50’E
3. on the east, by a line from high seas point 14°55’N, 53°50’E to high seas point 10°48’N, 60°15’E, thence to high seas point 6°45’S, 48°45’E
4. and on the southwest, by the Somalia border at 1°40’S, 41°34’E, to high seas point 6°45’S, 48°45’E

excepting coastal waters up to 12 nautical miles offshore of territories which are wholly or in part within the Boundaries.

The coastal waters exception above does not include the Bab el-Mandeb Traffic Separation Scheme, the Red Sea coast of Saudi Arabia that lies within the Boundaries, or the Yemeni coast.

This notice does not alter the position of any other area currently restricted or excluded under respective entries, and all other terms and conditions remain unchanged.

If you have any questions regarding this matter, or if you wish to request reinstatement of cover for war risks in the restricted or excluded area, please do not hesitate to contact your usual underwriting contact.