Marine insurers are stepping up efforts to adapt to the requirements set by the International Maritime Organization (IMO) for the decarbonization of shipping by 2050, providing data-driven insights and supporting sustainable shipping practices.
Hellenic Hull Management (HMA), a leading marine insurance management company, on the occasion of the publication of the third annual report of the Poseidon Principles, pointed out that achieving the goals for decarbonizing shipping is a long-term effort and significant work still needs to be done.
As part of the commitments, it explained, marine insurers continue to actively measure and communicate carbon dioxide emissions across insured fleets.
They also provide critical information on hulls and machinery, allowing ships to be more accurately assessed and rated for climate alignment.
“Despite global turmoil and geopolitical tensions, marine insurers must not lose focus on achieving a better future through environmentally sustainable shipping. Our commitment to the Poseidon Principles for marine insurance remains unwavering, ensuring a sustainable future,” emphasized the CEO of Hellenic Hull Management (HMA), Elias Tsakiris. According to data from the Union of Greek Shipowners, the Greek-owned fleet is the largest in the world operating with alternative fuels and with sulfur oxide scrubber-fitted fleet. 43% of Greek-owned ships worldwide are equipped with new energy-saving technologies, compared to 39% of the global fleet.
The Poseidon Principles are a global framework that enables insurers to integrate environmental, social and governance (ESG) factors into their marine insurance practices and support the decarbonization of the shipping sector, aligning insurance decisions with the goals of the Paris Climate Agreement.
It is noted that from June 2024, fleet climate alignment scores can be produced using estimates based on a modelled data path.
This approach improves reporting by effectively collecting climate data across the HMA portfolio, thereby improving efficiency and reducing administrative burden for both underwriters and their clients.
While the International Maritime Organization (IMO) does not require marine insurers to report on the climate impact of their portfolios, the insurance sector plays a critical role in decarbonizing.
Emissions tracking is becoming standard practice in marine insurance, strengthening internal sustainability practices and helping to reduce global shipping emissions.
This year, nine signatories, representing over 25% of the total deadweight of the global fleet within the reporting scope, calculated climate alignment scores using ship data from 2023.
