DP World launches war risk cover for Middle East cargo flows

DP World has launched an end-to-end insurance solution for cargo war risks for businesses trading through the Middle East, as conflict-related disruptions continue to impact shipping, aviation, and inland logistics across the region.

The Dubai-based port and logistics operator said the new programme is designed to address gaps in conventional cargo insurance, where coverage is often limited to a single stage of transport and excludes several war-related risks. The company said the solution provides continuous protection across ocean freight, air cargo, port storage and inland transportation under a single policy structure.

The insurance offering comes at a time when shippers operating through the Arabian Gulf and Red Sea corridors are facing rising war risk premiums, route diversions and capacity disruptions linked to geopolitical tensions. Industry participants have increasingly raised concerns over fragmented insurance arrangements that leave cargo exposed during transhipment, storage and inland delivery.

DP World said its solution covers physical loss or damage caused by war-related events, including conflict, civil unrest, seizure and derelict weapons. The company added that all valid claims would be settled with a zero deductible.

“This is about solving a real, immediate problem for global trade,” said Yuvraj Narayan, Group CEO, DP World. “Supply chains don’t stop at the port or the shoreline, and neither should insurance. For the first time, cargo owners can access a single policy that protects goods across the entire journey, even in high-risk environments, helping keep trade moving when it matters most.”

The programme is available to companies trading in or through the Middle East and is aimed at maintaining cargo flows across trade corridors, including the Arabian Gulf, the Red Sea and inland transport routes connected to regional ports and logistics hubs.

According to DP World, the policy structure allows cargo owners to choose between full end-to-end coverage or standalone insurance options for ocean, air or inland transport movements. The programme also includes automatic port storage cover for up to 14 days.

The company said the policy offers coverage limits of up to $400 million per shipment and up to $1 million per inland movement. DP World added that its scale and relationships across global insurance markets enabled it to secure pricing more competitive than standard war risk premiums currently available in the market.

DP World illustrated the structure through a shipment example involving cargo transported by sea from Asia into Jebel Ali before moving onwards by truck to an inland destination. Under conventional insurance structures, coverage would typically end after ocean transit, leaving gaps during port storage and inland transport. Under the DP World programme, the shipment remains insured from entry into the war risk zone through final delivery.

The company said traditional cargo insurance policies often exclude war risk cover or require separate policies for different transport stages. It added that carriers generally do not assume liability for war-related losses, leaving cargo owners exposed to operational and financial risks during periods of instability.

The launch reflects DP World’s broader strategy to expand beyond port and terminal operations into integrated supply chain services. The company said the insurance solution combines its logistics infrastructure with financial risk management capabilities to support customers operating in challenging trade environments.