The Nordic Marine Insurance Statistics as of 30 June 2026 show that hull claims costs for 2026 remain at an elevated level, although slightly lower than in 2023-2025. Further, 2026 is the fourth consecutive year with hull claims reported in the range above USD 50 million.
The frequency of claims in the USD 10,000-500,000 range continues to increase, while the frequency of claims above USD 500,000 flattens out at an elevated level after several years of increase.
The cost increase since 2023 was due to a combination of the return of costly major losses, primarily fires, and an above average inflation in repair costs, especially for machinery damage. It needs also to be seen in the context of an ageing world fleet with an increased probability for ‘wear and tear’ damage, although individual vessels may of course be well maintained. The Cefor Statistics forum focused in 2026 on two aspects related to machinery: engine fires and machinery failure other than fires.
An analysis issued in May 2026 showed that the frequency of engine-related fires rose sharply from 2019 to 2021 and then stabilised at a higher level than before 2019. Older vessels show both a higher frequency and cost of such fires, with vessels older than 15 years being particularly vulnerable. Passenger and container/car/RoRo vessels experience engine-related fires two-to-three times more frequently than bulk carriers and tankers.
Machinery failure other than fires represents the largest share of claims in both numbers and costs and has in addition been on the rise in recent years. One should also keep in mind that machinery failures can also contribute to other casualties such as fires, groundings, collisions or contact damage.
The mid-year hull report identifies a substantial increase in the average cost of machinery claims over the period 2019 to 2024, then flattening out. The three main types of machinery failure, which together account for 50% of all machinery damage, are related to the main engine, the auxiliary engine or the propeller shaft.
The fleet development shows that the ageing of vessels continues into 2026, with vessels over 10 years now representing 70% of the portfolio. On the other hand, the decrease in the share of the youngest vessels below five years has halted and stayed stable around 15% since 2021.
Vessel values showed an overall increase of 1.5% on renewal but with large variations between vessel types. The largest value decreases were recorded for car carrier/RoRo vessels with -10.2% on average, while the tank segment showed the biggest value increases with +9.1%
The full reports can be read here:
2026 Engine fire report
2026 Cefor Mid-year Hull Report
