Ukraine plans to launch war risk insurance in 2024.

The Export Credit Agency (ECA) plans to start insuring investments against military and political risks in the second quarter of the year, the EBA reports. The association reminds us that this year, a law entered into force that expanded the scope of the ECA’s activities to insure direct investments and investment loans in order to develop export-oriented enterprises.

The list of military and political risks and the conditions and procedure of insurance and reinsurance should be defined in the resolution from the Cabinet of Ministers of Ukraine, which is currently being developed by the Ministry of Economy of Ukraine and the National Bank.

The ECA is already preparing several products that are expected to be used by businesses this year:

1. Insurance of international and national direct investments, as well as dividends, in Ukraine.
2. Insurance for loans related to investment

Compensation can be obtained in the event of a complete stoppage of activity according to the business interruption principle (the difference between the cost of investment before and after the event is compensated).