EU Aims Crackdown at Shadow Fleet Requiring Filing of Insurance Documents

The European Commission has adopted what is being called a crucial measure to enhance maritime safety and environmental protection around the EU’s coastline. Under the measure added to the 20-year-old Vessel Monitoring Directive, ships are now going to be required to provide insurance information.

Many countries have raised concerns about the dangers of unregulated vessels sailing near their coastlines, and especially the large tankers supporting the Russian oil trade. Denmark has been outspoken about its concerns as the so-called shadow tankers travel its waterways to reach the Russian oil terminals on the Baltic. Various efforts have been discussed to crack down on these vessels with countries such as the United Kingdom launching efforts to inspect documents for vessels in the English Channel and Denmark started an enhanced Port State inspection effort.

The changes adopted by the European Commission now require all vessels, including those merely passing through EU waters without entering an EU port, to provide insurance information. The Commission asserts that this change strengthens oversight of uninsured or unsafe vessels, supports safety and environmental goals, and aligns EU rules with global standards amid rising threats from hazardous cargo and geopolitical instability.

“It reflects the EU's dedication to safer, more secure, and environmentally responsible maritime operations, aligning its regulations with international standards and tackling the challenges associated with hazardous cargo and geopolitical tensions,” said the Commission’s Director-General for Mobility and Transport, Magda Kopczy?ska.

By requiring that all vessels operating in the vicinity of the EU are properly insured, the commissioners assert the EU’s ability to monitor and, if necessary, investigate maritime activities is strengthened. They said it addresses risks posed by uninsured or unsafe vessels and also reinforces the commitment to a more environmentally responsible maritime sector.

Following this legislative change, the European Commission and Member States have also submitted a proposal to the International Maritime Organization (IMO seeking a minor amendment to several existing Mandatory Ship Reporting Systems (MRS) in and around the European coastal states.

The announcement of change did not specify any planned steps for enforcement actions and penalties for vessels that fail to comply.