Knowledge series

Introduction

There have been a growing number of pirate attacks in recent times. Kidnappings in particular have increased dramatically. The lack of a legal basis and gaps in the law make it easier for 20th century privateers. Munich Re has been observing the development of this risk on the world's oceans for a long time and has now published a brochure on this subject.

Piracy continues to be a serious risk for shipping companies, sailors, cargo owners, and insurers. According to the weekly report of the International Maritime Bureau (IMB) in London, pirate attacks occur on the world's oceans almost daily. The most-feared regions are the coastal areas of Southeast Asia, India, and Africa, and these are constantly being joined by new regions, such as the Gulf of Basra off the coast of Iraq.

Wherever the political and economic situation is tense, and wherever the law has no sway against them, that is where pirates attack. This has nothing in common with the romanticised picture of a swashbuckling rogue like Jack Sparrow in "Pirates of the Caribbean". Modern-day pirates are armed with state-of-the-art weapons and have been given good training. Experts suspect that they are also supported and trained by terrorist organisations. The dividing line between piracy and terrorism is becoming blurred and the danger of terror at sea is growing too. For this reason, not only the governments of the countries affected but also the shipping companies and the public as risk carriers are called upon to combat these trends with all their might.

The current publication Piracy — Threat at sea analyses the dangers emanating from piracy and marine terrorism and explains the legal position at national and international levels. It highlights underwriting aspects and describes ways of minimising the risk.