Riding the bow wave of changing marine risk

IN Partnership with

NTI is reshaping marine insurance culture – embedding with clients, anticipating risk and aligning services with the pace of modern shipping rather than waiting for problems to arrive

DOLPHINS ARE often seen riding the pressure wave at the front of a moving ship – a behaviour known as bow riding. It’s an energy-efficient way to travel, allowing them to move faster and arrive ahead of the vessel itself. Perhaps NTI is taking a similar approach to marine insurance. As global supply chains grow more interconnected and shipping technologies accelerate, the company is positioning itself in front of the industry’s momentum – where it can steer with foresight rather than react in hindsight. It’s a world in which relevance depends on integration. “We’re conscious of how the industry is developing and how our products and services proposition needs to deliver for our customers at the same level,” says Dan Morrison, head of marine portfolio at NTI. “Rather than insurance being reactive and the industries we protect pressing forward, we’ve got to have our products and services proposition pressing forward, aligned with that expectation.” In other words, to keep pace with the rapid transformation of shipping and transport, insurers must bow ride – matching the movement of their clients, staying ahead of emerging risks and navigating change in real time. This demands more than the right technology. It requires a cultural shift inside insurance organisations long built around post-loss responsiveness. NTI is embedding itself in customer operations, using real-time data to anticipate issues, streamline claims and help clients adapt before problems escalate. Whether it’s the emerging use of alternative fuel technologies, managing the ripple effects of climate disruptions, or streamlining claims for the surge in e-commerce shipments, the industry’s future hinges on a blend of technological fluency and organisational agility. Marine insurance is no longer just about transferring risk and following the wake of claims. It’s about moving with the customer and industry needs – and arriving first.

NTI provides insurance products for Australia’s supply chain – from small businesses to multigenerational logistics companies and global shipping. With over 50 years of experience, we’ve always been successful in finding new ways to keep our customers moving. We run a 24/7, 365 national operation with offices across Australia. Our market-leading tailored products, accredited repair and recovery networks and industry advocacy set us apart from our competitors. Insurance is simply a promise on paper. It’s not until you really need us that you’ll understand the NTI difference. Proudly Australia’s leading specialist insurance provider to keep you truckin’, shippin’ and diggin’. NTI insurance products are administered on behalf of the insurers by NTI Limited ABN 84000746109 AFSL 237246.

Find out more

Slowdown in shipping times

Global

“We’re conscious of how the industry is developing ... Rather than insurance being reactive and the industries we protect pressing forward, we’ve got to have our products and services proposition pressing forward, aligned with that expectation”

Dan Morrison, NTI

The maritime industry’s transition to sustainable fuels is a case in point, given both the opportunities and uncertainties involved. Ship owners face choices between battery power, hydrogen, ammonia and other alternatives – but fuel availability at ports and bunkering locations remains inconsistent. Morrison’s portfolio concentrates primarily on domestic operations where these cutting-edge technologies may arrive as adaptations of developments proven in larger international fleets. This positioning allows NTI to learn from early adopters while understanding the challenges presented by change and serving customers who benefit from proven solutions. “We’re seeing the development and innovation, and we’re also

listening to the challenges industry is identifying in transitioning,” Morrison says. “One of the main challenges for a vessel owner is fuel availability. It’s a significant issue if they commit to a solution direction [in terms of transition fuels] and the fuels they require aren’t actually available in their location or to the volume that they need, and understandably that’s driving caution. “Battery and solar electric vessels are an alternative to traditional fuel sources which are getting a lot of attention and investment as well. These also create their own opportunities and risks in terms of viability for different applications and safety, which vessel owners need to manage,” Morrison explains. This technology development and infrastructure uncertainty can complicate risk assessment, highlighting the need for an insurer that not only understands the challenges in protecting commercial vessels but also supports customers as they adapt their operations for the future. “We’re seeing the adoption of alternative fuels and battery technology being implemented on different commercial vessels within our portfolio, and we are protecting our customers and providing additional services like risk engineering to support them, whichever direction they are taking. We’ll continue to stay ahead of the market and develop new and innovative ways to support our customers and the maritime industry,” Morrison says.

Severe weather events and supply chain disruptions create cascading effects that traditional insurance products struggle to address. Port delays in one region can affect container availability globally, as recent Red Sea shipping disruptions have demonstrated. “Issues going on on one side of the world slow down containers being moved in and out, which slows down their access and availability in other parts of the global supply chain,” Morrison points out. The interconnected nature of modern logistics means localised problems quickly become global challenges.

Even container quality is affected: with more containers going around the Cape of Good Hope and being unavailable for longer, some companies have had to fill the gap by using containers of a lower standard than they would normally use. Sea level rise poses particular long-term challenges since ports cannot easily relocate. Weather volatility affects vessel schedules and cargo handling, creating accumulation risks that policy limits may not adequately address. NTI’s current response combines specialist support from its marine risk engineer to help customers; underwriting and policy response to address developing exposures; and enhanced communication with customers about emerging risks. Developing solutions that take advantage of technology development and digitisation of logistics provides the opportunity to move to a proactive response to customers. Rather than waiting for problems to materialise, the company aims to identify developing situations where possible and help customers adjust their exposure before losses occur, or provide a fast response when they do. “We’re seeing a lot more volatility from a weather perspective, and that can have an impact on local shipping,” Morrison explains. “And again, a big part of that is just communication and making sure customers are aware of

what’s going on in the world, where we’re seeing issues arising and how we can help them tackle that.” NTI’s approach extends beyond traditional policy coverage to a customer proposition that includes risk engineering support, claims expertise and recovery services. Morrison emphasises that this comprehensive response may help manage long-term insurance costs by providing advice and support to customers to improve processes and reduce exposure.

Container ship riding through stormy sea waves under a cloudy sky.

Alternative fuels, consistent response

Climate risk demands proactive response

Published 14 Jul 2025

“There’s opportunity for us to say, ‘we understand you a little bit better; we have things that we can add, put in place or take out to make it a much more tailored response to what you need’ ”

Dan Morrison, NTI

Average days from initial booking to clearing gate at final port

Asia to North America

North America to Asia

North America to Europe

Europe to North America

Europe to Asia

Asia to Europe

100

Q1 2024

Q4 2024

Q1 2025

Source: E2open Shipping Index (full report can be downloaded from E2open website)

Source: Australia Post 2025 Inside Australian Online Shopping report

9.8 million households spent more than $69bn online in 2024, up 12% vs 2023

Online shopping in Australia hits record high

1 in 5 households shopped online weekly in 2024

Online spending now makes up 18–22% of all retail spending

between innovation and comfort that marine insurers must balance carefully. Yet the potential benefits are compelling. Container temperature monitoring can identify refrigeration failures in real time, enabling immediate cargo replacement decisions rather than waiting weeks for goods to reach their destination and reveal spoilage. Such proactive responses can preserve customer relationships and business continuity in ways that traditional post-loss settlements cannot match.

Technology transforms cargo visibility

Twenty years ago, once the container doors closed at a loading dock, there was very little opportunity to understand the condition of the cargo and the factors affecting it until arrival. Today, technology exists that can track temperature fluctuations in a refrigerated container crossing the equator and trigger immediate alerts to the shippers before spoiled goods reach their destination. Container sensors, tracking devices and digital documentation are becoming standard rather than optional in global shipping. This proliferation of data points offers insurance providers unprecedented visibility into cargo conditions and supply chain disruptions.

Morrison notes that insurance companies are experimenting with parametric products that use detailed data to trigger automatic payouts based on predetermined conditions rather than traditional loss investigations. However, adoption remains cautious across an industry that values proven approaches over cutting-edge solutions. “Insurance can be a bit of a slow-moving beast,” Morrison acknowledges. “There’s that bleeding edge and the cutting edge, and the traditionalists that look and see what works.” The conservative approach reflects customer preferences as much as industry culture. Many shippers prefer familiar products and processes, even when newer alternatives might offer superior outcomes. This creates a tension

customers to just requiring them to tell us what went wrong and how we can resolve that as quickly as we can,” Morrison explains. The results have seen some claims processing times reduced to 15 minutes or even less. The automation extends beyond speed. When tracking data shows theft or loss during transit, there’s no need to question recipients about circumstances they couldn’t witness. Instead, the focus shifts immediately to resolution – principally through direct replacement ordering from NTI’s insured that creates additional sales for them as NTI pays for the replacement.

E-commerce cargo challenge

The rise of online shopping has created a coverage gap that traditional marine insurance struggles to address. Countless parcels move through supply chains daily, with values falling below standard policy deductibles, leaving a significant portion of cargo movements effectively uninsured. This shift in shipping patterns is reinforced by broader market data. According to the Australia Post eCommerce Report 2025, a record 9.8 million Australian households shopped online in 2024, spending $69 billion in total, with online marketplaces alone accounting for $16 billion. Much of this growth was driven by cost-conscious consumers purchasing smaller, lower-value items more frequently – a dynamic that amplifies the challenge for marine insurers traditionally focused on bulk or high-value cargo.

“We’ve seen the significant increase in online shopping over the last decade and the shift in the supply chain to support that change,” says Morrison. “We also recognised that as online sales grew, the exposure which customers’ traditional cargo policies didn’t easily respond to was also growing.” In response, Morrison's team has developed an e-commerce online proposition that integrates directly with e-commerce websites and is focused on ensuring a response that delivers the highest quality of service for customers. This integration allows NTI to see shipment volumes, frequencies and movement patterns in real time. When problems occur, the traditional claims process – forms, documentation gathering and lengthy investigations – gives way to rapid resolution based on existing tracking data in applicable scenarios. “We can see the shipment details, type of goods, values, where the shipment was going from and to, and when it took place. It simplifies our claims response for our insured’s

The fundamental challenge facing marine insurers involves aligning traditional insurance products with increasingly digitalised supply chain expectations. Customers accustomed to real-time tracking, instant communications and automated responses expect similar capabilities from their insurance providers. “There’s a lot more requirements from a compliance perspective,” Morrison says. Success means becoming embedded within customer operations rather than remaining as external service providers activated only when problems occur. NTI’s e-commerce product represents one model for this integration, but Morrison sees broader applications across traditional cargo insurance. The goal involves heading towards more bespoke solutions that address specific customer needs instead of offering standardised products that customers must adapt to their circumstances. “There’s opportunity for us to say, ‘we understand you a little bit better; we have things that we can add, put in place or take out to make it a much more tailored response to what you need’,” Morrison says. The transition reflects broader changes within global logistics where digital integration, environmental sustainability and risk management converge. Insurance providers that can successfully navigate this convergence while maintaining the reliability and security that customers expect will likely emerge as preferred partners in an increasingly complex operating environment. For brokers and customers, choosing NTI offers more than robust policy terms and pricing. It brings superior tech capabilities, expert risk engineering and integrated solutions that go beyond simply transferring risk. But it might also be a chance to channel your inner dolphin – and bow ride into the future just a little faster.

Integration challenges and opportunities

Disclaimer: Some information in this section may reference third-party technologies, platforms, or data sources, such as cargo tracking systems or global logistics indexes (e.g. E2open Shipping Index). These references are provided for illustrative purposes only and do not imply endorsement, affiliation, or commercial relationship. All trademarks, data, and technology remain the property of their respective owners. NTI makes no representations regarding the accuracy, completeness, or ongoing availability of external systems or data and does not guarantee outcomes based on their use. This article contains general information only and you should obtain your own professional advice based on your personal and business circumstances. When making decisions about our insurance, consider the PDS and TMD at www.nti.com.au/. NTI bears no responsibility, and shall not be held liable, for any loss, damage or injury arising directly or indirectly from your use of or reliance on the information in this article.

RSS

Sitemap

About us

Conditions of Use

Terms & conditions

People

Specialty

Best in Insurance

Resources

Risk Management

News

RSS

Sitemap

About us

Conditions of Use

Terms & conditions

People

Specialty

Best in Insurance

Resources

Risk Management

News

RSS

Sitemap

About us

Conditions of Use

Terms & conditions

People

Specialty

Best in Insurance

Resources

Risk Management

News