Beyond Claims in the Strait of Hormuz

Recent disruption in the Strait of Hormuz has prompted renewed discussion about the nature of maritime risk, with industry experts arguing that the human element behind operational decisions deserves far greater attention than it typically receives. According to Dr William Moore, Head of Loss Prevention at The American Club, the crisis illustrates how risk extends well beyond what occurs on the water.

Since conflict involving Iran intensified earlier this year, the focus has largely centred on vessel movements, war risk premiums, sanctions exposure and threats to global trade flows. Yet Moore emphasises that every routing decision, transit delay and contingency plan ultimately rests on people making difficult judgements under uncertainty.

He notes a shift in how the marine insurance sector operates. While responding to incidents such as collisions, cargo damage and crew injuries remains central, insurers are increasingly prioritising prevention. Most casualties, he argues, do not stem from a single dramatic failure but from an accumulation of small factors: a rushed checklist, a missed warning, or a fatigued crew member reluctant to challenge an unfolding situation. Analysing claims across the global fleet allows insurers to identify recurring patterns that individual investigations would not reveal.

Moore also addresses a misconception arising from the current crisis, namely that shipping slowed because cover was unavailable. In practice, capacity remained broadly intact, though priced to reflect the elevated risk environment. The more pressing question for owners and operators, he suggests, is whether the danger to vessels and crews justifies proceeding at all, a decision that insurance can support financially but cannot make on their behalf.

The article highlights that loss prevention now draws on psychology and behavioural science, with mental wellbeing, fatigue and crew welfare treated as core safety concerns. For seafarers around the Gulf, the cumulative strain of uncertainty, altered voyage plans and family worries can undermine concentration as much as any mechanical fault.

For Malaysian and Southeast Asian operators, whose fleets and crews depend on Gulf trade routes and stable transit corridors, the message is timely. As regional geopolitical tensions persist, the reminder that safe shipping relies on resilient crews, shared industry intelligence and sound judgement, rather than insurance alone, carries direct relevance for local owners, managers and offshore service providers.