Red Sea high-risk zone expanded by London insurers following Houthi attacks

LONDON, July 30 (Reuters) – London's marine insurance market has widened the area in the Red Sea it deems as high risk after attacks on ships by Yemen's Houthi movement but Egyptian waters were excluded, according to a July 29 advisory.

Guidance from the Joint War Committee, which comprises syndicate members from the Lloyd's Market Association and representatives from the London insurance company market, is watched closely and influences underwriters' considerations over insurance premiums.

The extended high-risk zone takes in more of the Red Sea coast adjacent to Saudi Arabian ports and reaches close to the Saudi port of Jizan, the advisory showed.

The Iran-aligned Houthis on July 20 declared a maritime embargo against Saudi Arabia, opening a new front against the U.S. and its allies in the Iran war and expanding attacks on tankers carrying global energy and other supplies to waters beyond the Gulf.

"Two (Saudi linked vessels) were attacked in the first few days after the (Houthi) announcement," the JWC said.

"The JWC has adjusted the Red Sea notification line northwards to reflect this development."

(Reporting by Jonathan Saul, Editing by Louise Heavens)