India launches $1.5 billion Bharat Maritime Insurance Pool BMIP
India just rolled out the Bharat Maritime Insurance Pool (BMIP), an $1.5 billion insurance mechanism to help Indian ships get insured at home, especially when things get messy globally, like during wars or trade troubles.
With a $1.4 billion government guarantee backing it, BMIP covers Indian-linked ships for marine hull and machinery, cargo, protection and indemnity (P&I), and war risks.
BMIP handles claims up to $100 million
Right now, India owns just 1.2% of the world's ships and spends around $90 billion a year on freight, mostly paid to foreign companies.
BMIP's first policy has already been issued and claims up to $100 million will be handled directly by the pool: anything bigger gets government support if needed.
Experts say this is a big step toward making India more self-reliant in shipping insurance, but good management and technical know-how will be key for its long-term success.