With standard insurance voided by war, who will cover the $125 billion of cargo trapped in the Persian Gulf?
As the Hormuz blockade enters its fourth month, is the global economy prepared for a prolonged oil shock?
Are traditional insurance models obsolete in this new era of hybrid warfare and weaponized trade routes?
The 2026 Strait of Hormuz Closure: Global Economic, Energy, and Maritime Fallout from the U.S.-Iran War
Overview
The closure of the Strait of Hormuz in early 2026, following coordinated U.S. and Israeli strikes on Iran and the outbreak of the U.S.-Iran War, triggered a global crisis that spread rapidly across energy, food, trade, and financial markets. This disruption caused widespread damage, even to countries usually seen as stabilizers, and led to severe humanitarian consequences in the Middle East, including the displacement of over a million people in Lebanon and a sharp rise in food insecurity. The maritime industry faced major operational and security risks, fundamentally reshaping its risk landscape and highlighting the vulnerability of global supply chains to geopolitical shocks.