War-risk insurance for tankers via Hormuz and Bab el-Mandeb jumps to 5 to 10 percent of hull value

As attacks on tankers in the Strait of Hormuz and the Red Sea intensified, war-risk insurance for transiting vessels has soared. According to several international reports as of Thursday, July 23, 2026, the per voyage war-risk premium has climbed from about 0.25 percent of hull value before the tensions to a range of 5 to 10 percent, meaning 5 to 10 million dollars for a 100 million dollar tanker instead of roughly 250,000 dollars.

Traffic through Hormuz has also thinned: S&P Global data show only about 10 vessels crossed the strait on Tuesday, July 21, versus 16 on Monday. Yemen's Houthis have declared a naval blockade of Saudi linked ships in Bab el-Mandeb. The rising costs feed directly into global oil and energy prices, which matter for Iran's market.