Saudi Re to lead new Saudi marine war risk pool

Saudi Re has been appointed to lead a new national marine war risk insurance pool in Saudi Arabia following approval from the country’s cabinet.

The Saudi Pool for Marine War Risk Insurance will provide war-risk cover for cargo and hull through participating insurers under approved terms and conditions.

Saudi Re said it had been appointed by the Insurance Authority to lead the initiative.

The pool is intended to strengthen the domestic insurance market’s ability to respond to marine war risks while supporting continuity of trade flows and supply chains.

It is also designed to reduce reliance on volatile international reinsurance markets during periods of heightened geopolitical risk.

The initiative follows disruption to shipping in the Red Sea and Strait of Hormuz, which has affected insurance pricing and vessel routing for Gulf ports during 2026.

The pool creates a domestic framework through which businesses can obtain protection against war-related risks affecting cargo and vessels.

Saudi Arabia said the structure would also support its broader ambition to strengthen its position as a global logistics hub.

Mohammed Al-Jadaan, minister of finance, said: “The Saudi Pool represents a specialised national mechanism that enhances the insurance market’s ability to deal with the risks of maritime warfare, and supports the continuity of trade and supply chains, through a partnership between the public and private sectors.”