The conflict between Israel and Iran has led to an increase in insurance costs for ships in the Red Sea and the Persian Gulf, reflecting deteriorating regional security.

Rising tensions between Israel and Iran have led to a significant increase in insurance costs for ships transiting the Red Sea and the Persian Gulf, with rates for insuring Persian Gulf vessels rising from 0.125% to 0.2% of the value of the vessel. Insurance for ports in Israel has tripled and the validity of offers has been reduced to 24 hours. Shipping companies are becoming more reluctant to cross the Strait of Hormuz, a key point for oil exports, which could affect global energy supplies.