How does the price cap on Russian oil work? As I understand, EU insurers are now prohibited from doing business with freight companies that transport Russian oil by sea – unless they comply with the cap. I have three questions:
Can Russian companies simply enjoy insurance services from other providers?
Can Hungary, Bulgaria and other countries, which are exempt from the law, resell non-capped Russian oil and let the Russian government rake in just as much?
It may seem implausible now, but what if the market price drops below the cap level of $60/bbl? Will Russian oil be sold at a premium?