US Blacklists Iranian Maritime Insurance Firms for Supporting Strait of Hormuz Scheme

The US Treasury Department has blacklisted two Iranian maritime insurance firms, HormuzSafe Marine Services Authority and Persian Gulf Marine Insurance Company (PGMIC), for operating in Iran's financial sector. This move is part of a broader effort to curb an Islamic Revolutionary Guard Corps-backed scheme that forces commercial vessels to buy purported insurance for passage through the Strait of Hormuz.

According to the Treasury Department, HormuzSafe and PGMIC are subject to secondary sanctions, and their designation adds two named entities to an existing sanctions-risk framework. The firms have been accused of supporting the scheme that requires commercial vessels to buy insurance for safe passage through the Strait of Hormuz.

The US Office of Foreign Assets Control (OFAC) has designated the two Iranian maritime insurance firms under Executive Order 13902, which prohibits transactions with entities operating in Iran's financial sector. The designation also blocks covered property and requires U.S. persons to report within 10 business days.

Foreign exposure hinges on ownership, conduct, and any US nexus, not just transit through the Strait of Hormuz alone. OFAC recommends ownership due diligence on transaction parties and account relationships, and may impose civil penalties for sanctions violations on a strict-liability basis.