War risk insurance with a $50M limit for commercial real estate will be available in Ukraine.

Insurance broker McGill and Partners and Ukrainian insurance company ARX, through the mediation of Ukrainian company FortuneGuard, are launching a commercial property war risk reinsurance program for companies operating in Ukraine. The limit for a single facility is up to $50M.

The insurance covers damage from drones, missiles, and fragments of air defense systems. The insurance does not cover losses caused by cyberattacks, biological, nuclear, chemical weapons, or looting. Coverage will be available for real estate located more than 100 km from the front line.

The product is available to cover losses to commercial real estate and investment projects in Ukraine. These are projects that involve both foreign and Ukrainian capital.

“We have never considered it fair to impose a blanket exclusion across Ukraine, as the risk in the west is not the same as the risk in the east,” McGill noted.