India has expanded the number of approved Russian protection and indemnity (P&I) insurers permitted to cover ships entering its ports from eight to eleven. According to Reuters, the decision aims to preserve legal access for Russian tankers to the ports of the South Asian country, whose dependence on Russia has increased during the Iran war.
With Western insurers pulling back from Russian cargoes, Russian insurers have become the sole source capable of covering those vessels. India is the world's third-largest oil importer and consumer, meeting most of its energy demand from Russia throughout the Iran conflict only because of a temporary sanctions waiver issued by the US in March and extended for a further month on 11 April.
The waiver allows countries such as India and China to buy Russian oil without the price cap. Expanding the insurer list is seen as a critical operational step for those countries to keep their ports open to Russian tankers.
Key Takeaways:
1. India raised the number of approved Russian P&I insurers from 8 to 11.
2. Legal access for Russian tankers to Indian ports is preserved.
3. Western insurers avoid Russian cargo; Russian insurers are now the only option.
4. The US sanctions waiver was extended for another month on 11 April.
5. India is the world's third-largest oil consumer, sourcing most demand from Russia.
