Yesterday, Monday, the crisis of the delinquent ship "Evergiven" in the Egyptian Suez Canal ended successfully, and announced the resumption of international navigation through the canal, but the next remains more difficult, whether in terms of estimating the true and final losses of this exciting incident, or on the one hand determining the nature of the parties that will bear responsibility Compensation for the injured parties, is it the company that owns the ship or the company chartering it, or is it the Suez Canal administration or insurance and reinsurance companies?
The "Evergiven" closed the canal for a period of 6 days, halting movement on one of the most important trade routes in the world and causing enormous congestion and costly for ships in both the Mediterranean and the Red Seas.
Figures for losses
The company that owns Ever Given - one of the largest container ships in the world - and insurance companies are facing millions of dollars in claims, according to a Reuters report.
The length of the "Evergiven" ship is 400 meters, while its tonnage is 224 thousand tons.
"Accidents involving large container ships can cause claims of more than $ 1 billion, but these are mostly linked to the rescue and the ship's arrival at its final destination," says Fitch Ratings.
Fitch adds that the insurance costs are the claims related to the insurance of the ship's hull and cargo and the delay in the arrival of the goods to their final destination, including the salvage costs that will be borne by the insurance companies, according to Anadolu Agency.
Fitch had said that the closure of the Suez Canal would reduce the profits of global reinsurance companies, but would not significantly affect their credit conditions, while marine reinsurance rates would rise further.
Fitch also explained that a large part of the losses are likely to be reinsured from a global group of reinsurance companies, which will increase pressure on profits for the first half of the year.
According to the Suez Canal Authority, 356 ships were stranded on both sides of the Suez Canal to the north and south, while the number of ships waiting to cross was 425.
Rahul Khanna, director of marine risk advisory at Allianz Global Corporate & Specialty, says there may also be claims for damage to the canal, according to a Reuters report.
A report by Allianz Insurance Company said that a one-day disruption in the transportation of goods, as a result of stopping navigation in the canal, "costs global trade from 6 to 10 billion dollars," as quoted by the French Press Agency.
As for Lloyd's List, before the delinquency of the delinquent ship crisis eased, the closure was impeding shipments valued at about $ 9.6 billion a day between Asia and Europe.
"Lloyd's List" indicated that "rough calculations" indicate that the daily ship traffic from Asia to Europe is estimated at $ 5.1 billion, and from Europe to Asia is estimated at $ 4.5 billion.
In a press conference held last night, the head of the Suez Canal Authority, Osama Rabie, said that the authority had set the cost of losses between 12 and 15 million dollars per day, and that the body responsible for compensation will be determined after the completion of the investigations into the accident.
For its part, the American Business Insider website quotes experts as saying that the accident of the ship stuck in the Suez Canal may have cost the world 400 million dollars every hour.
According to experts, between 10% and 12% of international maritime trade passes through the canal, while the Suez Canal Authority stated that about 19,000 ships crossed the canal in 2020.
Moody's Investors Service says that about 30% of global container traffic passes through the canal annually.
Who bears the responsibility?
Amin Musa Al-Hajj, an expert and consultant in the economics of maritime transport, says that no one is currently able to accurately quantify the losses that insurance companies will incur as a result of the claims that will be submitted by the ship-owning companies that have been suspended in the Suez Canal or other affected parties, and it is not clear. Whether insurance companies are the only ones to be held responsible, or there are other parties that will be required to provide compensation to the losing parties.
He added in an interview with Al-Jazeera Net that at the present time, he may be responsible primarily for the management of the Suez Canal because the accident occurred on its territory and within the scope of its responsibility, then the company that owns the ship, the company chartering this ship, and the rest of the insurance and reinsurance companies that have a direct or indirect relationship with the ships. That was damaged by this accident.
But Amin Moussa warned that the separation of responsibilities will be determined by laws, contracts concluded between shipowners, cargo and insurance companies on the one hand, and between the owners of these ships and the management of the Suez Canal on the other hand, and the regulations governing the passage through the Suez Canal.
What about the owner company and the insurance companies?
Amin Musa Al-Hajj considered that the Japanese company that owns the "Evergiven" and the company chartering it may bear a large part of the liability if it is proven that they violate the legal and technical standards and requirements of traffic, but these two companies may push the force majeure clause to release any liability for them.
Earlier, Reuters quoted insurance agents and brokers as saying that the owner of the delinquent vessel - the Japanese company, "Shoei Kisen KK" - and insurance companies may all face claims from the Suez Canal Authority for lost revenue and also from other ships. Her movement was disrupted.
"All roads lead to the ship," says David Smith, director of the McGill and Partners marine insurance brokerage.
The bulk of these insurance claims will likely be reinsured through a program run by the Global Protection and Compensation Clubs group, Smith adds.
An exceptional event and upcoming moves
Meanwhile, Mustafa Fahmy Abu Al-Ela, chief strategy officer at Fortress Investment and Business Development, based in Qatar, tells Al Jazeera Net, "Even if it is not clear now who will bear the responsibility, it is certain that the Japanese company that owns the ship and the charter company will bear the responsibility." The bulk of compensation claims. "
And he indicates that these two companies will file claims with insurance and reinsurance companies to protect themselves or at least reduce losses.
Fahmy adds that the next few hours or days will witness a clear move by the companies demanding compensation, the affected companies, and the Suez Canal to determine responsibilities and assess losses.
He points out that the current event remains new and exceptional on the global arena, so it will be difficult to know the nature of the steps that will be taken by the compensation claimants or by those who will bear these compensation.
Legal battle
Ben Chapman, economic editor for the British newspaper The Independent, says that a "legal battle" worth millions of dollars will start soon and its proceedings will last, according to experts, for at least five years.
He adds that the party that will receive the largest share of the losses of the owners of shipped goods are the insurance companies that - after obtaining adequate compensation - will spend years in the courts to demand the largest possible amount of money from shipowners and shipping companies.
As for companies whose cargo is delayed on board hundreds of ships that queued up waiting for the evacuation of the "Evergiven" ship - Ben Chapman continues - it will be difficult for them to obtain compensation for the losses they incurred, which is likely and in large measure the same possibility for the shipping companies that were forced Take a 6 thousand km bypass road around the Cape of Good Hope.
The British newspaper confirms that the size of the floatation process means that rescuers will likely get a reward of several million dollars. It is also expected that the Suez Canal Authority will charge similar high fees for its services.
The newspaper believes that the crew of the rescue of the ship "Evergiven" may have saved billions of dollars on global trade by successfully floating it, but in return it will leave a large bill to the owners of the ship and its shipment.