Marine insurance: seizure of vessel for drug-smuggling

The Court of Appeal in Atlasnavios-Navegação Lda v Navigators Insurance Co Ltd and Others (The B Atlantic) [2016] EWCA Civ 808, reversing the trial judge, has ruled that an assured whose vessel is seized by customs authorities for attempted drug-smuggling by third parties unconnected with the assured has no cover under standard war risks insurance. This may be an issue that the insurance market may have to address.

The B Atlantic : the facts