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Sovcomflot fleet fully covered by Russian insurers, CEO says -Breaking


© Reuters. FILE PHOTO A flag bearing the Russian state-owned shipping conglomerate Sovcomflot’s logo flies in front of company headquarters in St. Petersburg on May 17, 2017. REUTERS/Anton Vaganov/File photo

(Reuters) – RRussian state-run Sovcomflot insures all cargo vessels with Russian insurances. The cover is compliant with international standards, according to the chief executive. This was after Western insurers pulled their coverage.

Western insurance companies stopped covering Russia’s largest shipping group after sanctions were imposed on Sovcomflot, which was triggered by Moscow sending troops over the border to Ukraine.

Sources revealed to Reuters this month, that Sovcomflot’s fleet was being reinsured by the Russian National Reinsurance Company.

Igor Tonkovidov CEO stated to reporters that technically, the company meets all international trade requirements. The company has a fleet that is nearly full of hydrocarbon shipping vessels, and cargoes are being delivered all over the globe.

Sovcomflot, a major shipper of Russian oil- and liquefied gas (LNG), cargoes worldwide is an important player.

Western insurance companies have stated that the Russian replacement policy would probably be adequate to maintain Russian vessels around the globe.