Ship and cargo premiums are expected to fall by up to 10% during 2008 even though risks in the marine sector are increasing. According to Aon’s 2008 Marine Insurance Market Review, ship and cargo owners are paying less in premiums because claims have decreased as a result of advances in ship design, cargo handling and general maritime safety. However, the market for protection and indemnity (P&I) will continue to see premium increases because both the number and size of claims is rising. To a lesser extent, the same is true of hull and machinery insurance.