Skip to content
You can now search across every topic, entity and event.What's new
Lloyd's Market Association
OrganisationGB

Lloyd's Market Association

Industry body representing the underwriting syndicates of the Lloyd's of London insurance market.

Lloyd's Market Association represents the London underwriting syndicates that price Gulf war-risk cover; as of 19 June it confirmed the Hormuz shipping block was physical, not a shortage of insurance capacity.

Last refreshed: 24 July 2026 · Appears in 1 active topic

Key Question

If Hormuz insurance is now available, why is shipping still not moving through the strait?

Timeline for Lloyd's Market Association

View full timeline →
Follow Iran Conflict 2026 →

Background

The Lloyd's Market Association is the trade body for the underwriting syndicates that make up the Lloyd's of London insurance market, the traditional home of marine war-risk cover. It does not itself write policies; it coordinates the syndicates that do and speaks for them collectively on coverage terms.

During the Iran conflict the LMA's syndicates have been the gatekeepers of Hormuz transit risk. On 19 June, with three reactivated Saudi tankers positioned near the strait but zero eastbound transits completed, the LMA confirmed the block was physical rather than financial: uncleared mines and an unswept navigation channel, not a shortage of insurance capacity, were keeping ships out.

That distinction separates two different reopening conditions, mine clearance and cover restoration, that would otherwise be conflated. War-risk premiums for the route have since risen sharply, reported at up to 10% of a vessel's value by mid-July against a pre-war 0.25%, underlining that syndicated capacity remains available but priced for closure.

Common Questions
What is the Lloyd's Market Association and what does it do?
The Lloyd's Market Association (LMA) is the trade body representing managing agents and syndicates at Lloyd's of London. It issues Joint War Committee area listings that determine hull war-risk premiums and provides technical guidance to the Lloyd's market.Source: Lowdown
Why did the LMA say Hormuz shipping was not moving despite insurance returning?
The LMA stated on 20 June 2026 that safety, not insurance availability, was suppressing Hormuz traffic. The navigable channel was uncleared, no minesweeping had occurred, and tracking data showed zero completed eastbound transits.Source: Lowdown
What are Joint War Committee listed areas at Lloyd's?
Joint War Committee (JWC) listed areas are waters classified by Lloyd's underwriters as carrying elevated hull war risk. Ships transiting these areas attract additional war-risk premiums; the listing effectively defines which zones require specialist cover.Source: Lowdown
Who is Lloyd's chief of markets Patrick Tiernan?
Patrick Tiernan is Lloyd's of London's chief of markets. In June 2026 he announced a Chubb-led war-risk insurance consortium formed to help restore marine cover for vessels transiting high-risk waters such as the Strait of Hormuz.Source: Lowdown
Why did Hormuz war-risk insurance premiums rise again in July 2026?
By 17 July 2026 hull war-risk premiums for Strait of Hormuz transits had climbed back to 3 to 10 per cent of hull value, reversing the partial relief seen in late June when London premiums had halved to around two per cent.Source: Lowdown