Insurers and Controlled Goods

Military exports
Under the Export Control Order 2008, parties involved in the export of various classes of controlled goods, including military materials and “dual use” items, are prohibited from moving goods to certain listed destinations and must obtain licences to move goods to other destinations.

These regulations can in certain circumstances also apply to organisations which facilitate the export of prescribed materials, including insurance companies. Insurers subject to UK law and the supervision of the Department of International Trade are taking a strict approach to this requirement in the context of aviation insurance but it seems that other European insurers, operating under similar regulation in the European Union, are adopting a more liberal attitude. It will be interesting to see how this develops but, given the market strength of UK aviation insurers, their approach is clearly of the utmost significance to anyone involved in the movement of these goods.

Simon Cooper