Turkey recognizes Russian insurance for shipping by vessels, India also for the most part - dep minister

MOSCOW. Nov 29 (Interfax) - Turkey recognizes Russian shipping vessel insurance, and India and China also recognize it, for the most part, though not fully, Deputy Transport Minister Alexander Poshivay told reporters on Tuesday.

Poshivay recalled that specific terms and conditions are "determined by intergovernmental agreements".

"The issue [of recognizing Russian insurance] will have to be worked out with the entire world," he said.

He said that at present, ships sailing under the Russian flag and denied insurance by Western companies were being insured by Russian insurance companies and reinsured by Russian National Reinsurance Company (RNRC). The insurance coverage of Russian insurance companies includes all maritime transport risks in accordance with international requirements, and "Russian insurance has already been in use for many months."

RNRC has "increased its charter capital to 750 billion rubles, but now it is actually practically unlimited. The Central Bank is a guarantor for RNRC, that is, guarantees [for reinsurance] can be applicable to any volume of Russian oil and oil products. Practice is needed for success," Poshivay said. RNRC is a Central Bank subsidiary.

Poshivay said on Tuesday at the IV Russian-Chinese Energy Business Forum that the shipbuilding industry is "facing new challenges." "With the imposition of sanctions, insurance services in West Germany are no longer available to Russian maritime carriers. According to established practice, these services were provided by European and American companies. In addition, difficulties have arisen due to a significant increase in the cost of sea transportation, the non-recognition of insurance certificates issued by Russian insurers and the RNRC after Lloyd's syndicates declared Russian waters to be a zone of war-related peril.