Fears are growing that last week’s controversial Spanish court decision to seek $1bn compensation for the Prestige tanker spill could adversely affect the forthcoming renewal of protection-and-indemnity cover.

The judgment is against the London Steam-Ship Owners' Mutual Insurance Association but will directly feed through to the reinsurers of the 13 International Group P&I clubs.

The renewal was already looking more difficult than in recent years because reinsurers have been hit by a run of costly natural catastrophes, such as hurricanes Harvey, Irma and Maria, as well as wildfires in California.