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Piracy Risk Surcharge (PRS)

What is Piracy Risk Surcharge?

Piracy Risk Surcharge is an additional fee levied on the sea freight due to piracy, especially at the Gulf of Aden. Frequently, carrier companies face the threat of piracy when transporting goods via the sea, and they pay more on their insurance premium as a result of this threat.

As a result, PRS was introduced to compensate for the increase in premium charged by the insurance company. PRS is also known as the Gulf of Aden Surcharge.

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