Confidential Advice Line: 0800 063 9221

Piracy is an insurance risk with no foreseeable resolution

Corporate Finance

| March 16th 2010

More News by David Abbott

Simon Fordham, a Partner and crisis management expert from BGN Risk, said this week that insurers were used to hard-nosed negotiation but that this did not work with pirates in Somalia, Nigeria and elsewhere. In a lecture from the Insurance Institute of London's podium at Lloyd's Old Library, Fordham said that pirate activity did not conform to set patterns and was mostly outside ship-owners' control.

"The pirates will show how much control they have, and the lives of the crew could be in danger."

Fordham said that piracy was indisputably a "crisis" and that there was no sign of resolution or impact reduction for some time. He spent the rest of the lecture explaining to the insurance industry delegates the desperate and culturally entrenched nature of this emerging risk.

"The pirates carry weapons as easily as we Europeans wear a watch. If the pirates come within 800 meters of a ship, they do their damnedest to get it."

The average age expectation of a man in Somalia was 40, which meant that at 16, 17 or 18-years-old...

read more


About the author

David Abbott

Partner

Meet our Team of Experts

David joined Begbies Traynor in 2004 originally working in one of their regional offices.  In 2006 he moved to the London office to help set up a specialist team focusing on creditor side assignments in the guise of Independent Business Reviews and Independent Solvency Reviews.  David has 18 years’ experience in the accounting profession and prior to joining Begbies Traynor has worked in a number of Top 50 London based partnerships.

As well as business reviews and independent solvency reviews, hands on turnaround assignments have also been one of David’s main focuses. This has generally been in support of high street clearing banks.

48 Regional UK Offices

Find your local Begbies Traynor office and speak to an adviser today.

Find your Local Office
0800 063 9221

Call our Confidential Advice Line. Calls to this number are free of charge.

Call us now...
Request a Meeting

We invite you to come and discuss your enquiry with us at your convenience.

Request a meeting...
0800 464 0871

Call our Confidential Advice Line. Calls to this number are free of charge.

Call us now...
Request a Meeting

We invite you to come and discuss your enquiry with us at your convenience.

Request a meeting...
0161 837 1700

Call our Confidential Advice Line. Calls to this number are free of charge.

Call us now...
Request a Meeting

We invite you to come and discuss your enquiry with us at your convenience.

Request a meeting...
Advice for businesses on EBTs after HMRC Supreme Court victory
Begbies Traynor currently advising numerous businesses
HMRC sends out follower notices to reclaim tax lost to Employee Benefit Trusts
Find out more →
 
Open Banking to Reshape the Alternative Finance Sector
CMA mandates the adoption of Open Banking by early 2018
Will see alternative lenders competing on a level playing field with dominant banks
Read more →
 
Join thousands of professionals by signing up for our updates
Analysis and Opinion from our Partners
Top Industry News
Register Now →
 

Advice you can trust

We are accredited by the following industry leading organisations

Insolvency Practitioners Association Institute of Chartered Accountants in England and Wales R3: Association of Business Recovery Professionals ICAEW Business Advice Service Turnaround Management Association ACCA (the Association of Chartered Certified Accountants) ICAS | The Institute of Chartered Accountants of Scotland

Contact the Begbies Traynor team

or Find your Nearest Office
Processing...