Shippers’ Council, Others Demands Urgent Review of War Risk Insurance on Nigeria-bound Vessels
Nifemi Coker
The Nigerian Shippers’ Council (NSC) has renewed calls for the downward review or outright removal of war risk insurance surcharges imposed on vessels calling at Nigerian ports, insisting that the charges are no longer justifiable given Nigeria’s improved maritime security.
Executive Secretary of the Council, Dr. Pius Akutah, made this known in a message to the third Maritime Annual Lecture (MAMAL 2025), organised by the Maritime Reporters Association of Nigeria (MARAN) in Lagos.
Represented by Mrs. Margaret Ogbonna, Director of Regulatory Affairs at the Council, Akutah assured shippers of the Council’s continued protection of their interests as the nation’s port economic regulator.
He highlighted Nigeria’s significant strides in combating piracy and armed robbery at sea, achieved through investments in maritime domain awareness, inter-agency collaboration, and the deployment of the Deep Blue Project.
According to him, these gains—together with Nigeria’s removal from the list of piracy-prone nations—prove that the country should no longer be treated as a high-risk shipping zone.
“Importers and exporters are unfairly burdened with exorbitant premiums which ultimately inflate the cost of goods and undermine trade competitiveness,” Akutah stated, adding that the Council would persist in its advocacy until the surcharges are reviewed or abolished.
He further disclosed that engagements were ongoing with the Lloyd’s Market Association and other international underwriters to push for a data-driven reassessment of Nigeria’s maritime risk profile.
The Council is also working with NIMASA and other agencies to compile empirical evidence reflecting the true state of maritime security.
Supporting this position, former NIMASA Director-General, Captain Temisan Omatseye, lamented that while Nigeria is charged up to 0.65 percent war risk premium, countries like Pakistan—with higher security challenges—pay only 0.25 percent.
He warned that with Nigeria emerging as a major petroleum products exporter, failure to resolve the issue could severely impact the economy.
Similarly, NIMASA Director-General, Dr. Dayo Mobereola, represented by Mr. Victor Iloh, noted that despite Nigeria’s removal from piracy lists by the International Maritime Bureau and commendations from the IMO, importers have paid over $5 billion in war risk premiums in the past three years.
Industry leaders, including Engineer Greg Ogbeifun and Captain Sunday Umoren, stressed the need for stronger collaboration between government, private sector, and international partners.
MARAN President, Mr. Godfrey Bivbere, also urged stakeholders to confront the surcharge issue head-on, warning that its continued imposition erodes investor confidence.
The conference, MAMAL 2025, which is the third in the series of annual conferences hosted by the Maritime Reporters Association of Nigeria, featured expert panel discussions and ended with a collective resolve to intensify advocacy for fairer treatment of Nigeria within the global shipping and insurance community.
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