Marsh introduces a port blocking insurance facility

Marsh LLC on Tuesday launched an insurance facility that provides $50 million in capacity for ports and shipping terminals globally if their operations are disrupted by port blockages.

The facility is designed to provide Marsh customers with coverage for loss of income caused by third-party accidents, such as a vessel sinking in a channel, a vessel impact resulting in the closure of the waterway or a natural catastrophe.

It was created following the collapse of the Francis Scott Key Bridge and subsequent disruption in Baltimore Harbor. Coverage can be purchased independently or used to supplement existing coverage, and the formulation can be customized to meet the needs of individual customers.

The facility is backed by a group of Lloyd’s of London and London A+ rated market insurers and higher limits are available on a case by case basis.