https://www.wsj.com/finance/u-s-pla...6?st=DZXFgt&reflink=desktopwebshare_permalink
“… The U.S. Development Finance Corp., part of the federal government, was tasked with implementing the $20 billion plan, an “America First”-style insurance program, led by American insurers.
This U.S.-centric idea ran counter to the market realities, according to industry executives.
Maritime war risks policies are sold mostly out of Lloyd’s of London, with foreign insurers covering foreign ships and cargo.
“There’s a whole ecosystem around war risks,” said David Smith, head of marine with broker McGill and Partners. “It’s very rare that U.S. insurers position themselves anywhere near that particular ecosystem.”
U.S. officials called London insurers and brokers, trying to figure out how the market operates, industry insiders said. Some have received calls asking for confidential data on the Lloyd’s market that participants have been reluctant to share.
The administration adapted its plan on Friday after shipowners and insurers questioned its practicality. The DFC pivoted to proposing using the $20 billion as reinsurance, or coverage insurers can buy to offset certain risks. …”
