Insurance coverage of fishing vessels remains low
Insurance is important for increasing safety in fisheries. However, the FAO World review of capture fisheries and aquaculture insurance 2022, estimates that only 16 percent of the global motorized fishing vessels operates with insurance coverage. The number of fishing vessels covered by marine hull insurance is estimated at around 450 000 worldwide. Insurers, re-insurers and insurance brokers indicated that their underwriting experiences in fishing vessel insurance have generally been good over the 2009–2019 period. While large-scale industrial fishing vessels can purchase insurance cover on the international market, many small- and medium scale vessels have challenges to access insurance services. Between 50 percent and 60 percent of the semi-industrial fishing vessels (12–24 m in length) are covered by marine hull insurance. Among the small-scale fishing vessels only 1 out of 20 is currently insured. Access to accident, life and health insurance services for crew on fishing vessels and small-scale fishers in developing countries has improved in recent years.
The world review offers in-depth discussion of key areas of the capture fisheries and aquaculture insurance market. These include supply and demand, market structure and conduct, underwriting practices, perils covered, fishing vessels, aquaculture species and the production systems insured, the policies in force, risk management, handling of claims, and the varying underwriting experiences in five regions. Finally, it provides conclusions and recommendations to increase the provision of insurance services to fisheries and aquaculture stakeholders worldwide.
The World review of capture fisheries and aquaculture insurance 2022 can be found here.