Freight Pulse & Law Update: The UK's New Iran Shipping Sanctions Are Live, and Paying a Hormuz Transit Fee Can Void War Cover

Lanta LLC

Oct 1

2 min read

The UK’s Iran (Sanctions) (Amendment) Regulations 2026, SI 2026/983, entered into force on September 29. The rule expands vessel restrictions, reaches certain third-country trade, and creates a sharper insurance-compliance risk around any Iran-imposed Strait of Hormuz transit fee.

What changed under SI 2026/983?

The UK can now specify vessels suspected of carrying restricted, dual-use, oil, gas, or nuclear-related goods. Once specified, a vessel may face bans on chartering and operation, restrictions on brokering, crewing, technical, financial, and insurance services, plus port-access limits, detention, movement controls, and restrictions on sale, transfer, or registration.

The rules can also catch UK persons involved in third-country trade, technology transfers, or related services, even when goods never enter or leave the UK. For shipowners, charterers, banks, insurers, and third party logistics providers, screening must extend beyond cargo origin.

Why can a Hormuz transit fee threaten war-risk cover?

The Lloyd’s Market Association has advised underwriters not to cover shipowners against transit fees imposed by any party. Paying an Iran-imposed fee, or obtaining clearance from a sanctioned authority, can create sanctions exposure and may lapse London war-risk cover. Owners and charterers must identify the fee recipient, vessel owner, controlling parties, cargo, banks, and ship-to-ship transfers.

Iran’s blacklist now includes 77 vessels, but only 21 reportedly continue transiting. Shippers must ask who owns and controls the ship, not simply where it sails. Gulf states are pressing for pre-February 28 conditions: no fees or taxes in the strait.

Immediate compliance checklist

Screen vessel ownership, control, charterers, cargoes, counterparties, and transfers.
Review insurance warranties, sanctions exclusions, and claims-payment routes.
Escalate any Iranian maritime payment for specialist legal and licensing review.
Reassess contracts, routing plans, and supply chain management controls.

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Lanta Logistics supports Mid-Atlantic fulfillment from its Glen Burnie warehouse, including food-grade warehouse operations and a Hazmat certified 3PL serving Maryland, Virginia, DC, Pennsylvania, and Delaware along the I-95 corridor and Port of Baltimore/Seagirt.

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