Aon has launched a new shipping insurance policy to cover loss of earnings incurred when pirates hijack ships.

Aon’s London office announced the new policy last week, which comes after 50 ships were attacked off the coast of Somalia and 32 vessels were hijacked during the first eight months of the year.

Ships were detained for an average of 60 days, forcing ship charterers to pay additional hire fees without income. Aon says cargo owners are also facing the risk of cancelled contracts due to delays.

Though hull and war clauses in existing policies already cover physical loss or damage from piracy, Aon says there is a void in cover for the financial impact or business interruption or loss of earnings.

Aon cover is triggered from day one and is designed as a standalone policy to complement existing hull, war, cargo and professional indemnity cover.

Head of Marine Hull Peter Townsend says the recent spate of pirate attacks in the Gulf of Aden has highlighted the significant uninsured costs for carriers.

“We decided to do something about it across the marine industry so all parties affected by an attack could recover their loss of earnings,” he said.