Mar. 15 at 7:49 PM
$VG food for thought
Insurance premiums for LNG (Liquefied Natural Gas) vessels are usually higher than many other cargo ships because the risk profile is very different, even though LNG shipping is statistically very safe. Here are the main reasons insurers charge more:LNG is mostly methane cooled to −162°C. If a large quantity is suddenly released and vaporizes, it can form a large flammable gas cloud. If that cloud ignites, the resulting explosion can be extremely powerful.Events like the Cleveland East Ohio Gas explosion show how devastating LNG-related vapor explosions can be in confined areas. capacity: 150,000–260,000 m³ LNG Energy content: comparable to tens of kilotons of TNT equivalent
So insurers look at the worst-case scenario, not just the probability.High-value cargo and vessel LNG vessel:
$200M –
$350MCARGO value (depending on gas prices):
$30M –
$150M
cryogenic tanks, special insulation, boil-off gas management systems
