Somali/ East African piracy – then and now

In this IIL claims webinar, Richard Neylon talks about the evolution of piracy in the region, from its peak in the early 2000s to its decline and recent resurgence. This session examines the key drivers behind these shifts, including geopolitical, economic, and security factors, and assesses the impact on global shipping and marine insurance. Attendees will explore how risk mitigation strategies, such as naval interventions, onboard security measures, and evolving underwriting approaches, have shaped the industry’s response. This session also examines how the industry resolved hijacking cases. Finally, the speaker discusses the future outlook, highlighting emerging threats and the ongoing challenges for insurers, shipowners, and international regulators.

This webinar provides an analysis of the evolution of Somali piracy, examining its rise, decline, and recent resurgence. Richard explores the root causes, including political instability, economic hardship, and gaps in maritime security, as well as the anticipated impact on global shipping, trade routes, and marine insurance. The session will review counter-piracy efforts such as naval patrols, private security measures, and industry best practices, assessing their expected effectiveness over time. Participants will gain insight into how incidents were resolved, and the insurance implications, including potential shifts in war risk premiums, policy exclusions, and risk assessment strategies. The discussion will conclude with a forward-looking perspective on emerging threats and the challenges insurers, shipowners, and policymakers may face in mitigating piracy risks in the region.

Learning objectives

• Understand the evolution of Somali Piracy: examine the historical rise, decline, and recent resurgence of piracy in the region
• Identify key risk drivers: explore the political, economic, and security factors influencing piracy trends
• Assess the impact on global trade and marine insurance: analyse how piracy affects shipping routes, risk assessments, and insurance markets
• Review counter-piracy strategies: evaluate the effectiveness of naval patrols, private security, and industry best practices
• Explore insurance and risk management implications: understand the impact on war risk premiums, policy exclusions, and underwriting approaches
• Look ahead to emerging threats: gain insight into the future risks and challenges in mitigating piracy in the region

Speakers

• Richard Neylon, Partner, Head of Complex Environments, HFW
• Chair: Andrew Mackenzie FCII, Head of Claims, Clearwater UW Limited