Insurance pressures mount as offshore vessel risks are scrutinised

Vessels transporting oversized offshore wind components operate within a construction market facing growing insurance challenges, as serial losses and rising costs put pressure on the offshore energy sector, according to the International Union of Marine Insurance (IUMI).

Offshore wind’s serial-loss profile is adding volatility for insurers, according to IUMI’s 2026 statistics report, with losses already materialising in the sector. IUMI warns that construction premiums may not adequately compensate underwriters for the risks involved, despite the potential for substantial premium income from complex projects.

The exposure extends across the infrastructure underpinning offshore wind, including wind farms, cables and interconnectors. Renewables account for roughly one-third of reported premiums under the Lloyd’s risk codes analysed for the report, reflecting the sector’s growing significance to the insurance market.

The wider offshore energy insurance market remains soft. Premiums edged up just 0.1 percent in 2025 to USD4.82 billion, from approximately USD4.8 billion in 2024, while available capacity continued to rise. Competition for new business and efforts to retain existing clients kept pricing under pressure throughout the year.

This story was originally published by Project Cargo Journal. Read the full story at Project Cargo Journal →