New Delhi: The government on Tuesday launched the $1.5 billion India Marine Insurance Pool, backed by a $1.4 billion sovereign guarantee (Rs 12,980 crore), to provide risk cover for Indian ships on international routes, including in war zones. The move is expected to reduce shipping insurance premiums and ensure coverage even as global insurers pull out due to rising risks. The pool was approved by the Cabinet last month after reinsurance premiums skyrocketed in the wake of the Middle East conflict.“For claims up to $100 million, the pool will service the claims using its capacity, and beyond that, sovereign guarantees will be invoked as a last resort to pay claims,” ​​Financial Services Secretary M Nagaraju said.This pool includes all ships flagged or controlled in India and all ships originating from or originating from India carrying Indian cargo. This includes all marine risks such as hull and machinery, cargo, safety and indemnity and war risks.