The sentence that best paraphrases the meaning of the excerpt is the first option: "We’re afraid because our leader looks scared".
In the sentence, 'helmsman' refers to the person who directs a ship or boat. This idea can be paraphrased by means of the word 'leader', just like it happens in the sentence. This is the correct option because the original sentence states that both the helmsman and his subordinates are scared as well as in the first option. The second and fourth option do not imply that the subordinates are afraid; therefore, they are incorrect. Moreover, the third option is also incorrect because it states that the captain is not terrified.