The Ukraine Recovery and Reconstruction Guarantee Facility (URGF), managed by Aon, provides a €110 million guarantee from the EBRD to support global reinsurance companies. This guarantee covers specific war-related risks underwritten by local Ukrainian insurers, facilitating the re-entry of international reinsurers like MS Amlin into the Ukrainian market.
Ukrainian insurers INGO, Colonnade, and UNIQA have started offering war risk policies for inland cargo, motor own damage, and railway rolling stock. These policies are backed by the URGF and reinsured by MS Amlin, enabling higher coverage limits and broader protection for businesses operating amid conflict.
In its early weeks, the facility has provided reinsurance coverage exceeding €5 million, indicating strong demand. Early adopters include businesses in the agricultural sector, supporting critical trade activities in Ukraine.
By revitalising the war risk insurance market, the URGF aims to stimulate business activity and economic growth in Ukraine. The facility is designed as an open platform, allowing various insurers and reinsurers to participate, thereby enhancing the availability of war risk insurance.
The initiative has received financial backing from France, the United Kingdom, Norway, and the TaiwanBusiness-EBRD Technical Cooperation Fund, with additional contributions pledged by the European Union and Switzerland. More donor funding is expected, which could further expand the guarantee’s capacity over time.
Since the start of the war, the EBRD has invested over €6.2 billion in Ukraine, focusing on infrastructure, trade, and private sector support. In 2023, the bank approved an additional €4 billion capital increase to sustain investment during wartime and in the country’s post-war reconstruction.
Companies seeking war risk insurance can obtain policies through local brokers or directly from INGO, Colonnade, or UNIQA. The EBRD and Aon hope that by increasing insurance availability, the initiative will encourage greater investment and help businesses mitigate the financial risks of operating in Ukraine’s conflict-affected regions.
