The war risk insurance program shifts from launch to the first actual payouts. Four Ukrainian companies have already received partial compensation for insurance premiums under property insurance contracts covering war risks. Ukrainian Prime Minister Yulia Svyrydenko announced this.
Thanks to Government’s support, they have managed to reduce the cost of insurance from an average of 4.24% to 1.19%. All four companies are located in Kyiv.
“In total, 40 applications have already been received under the program for partial compensation of insurance premiums from Kyiv, Lviv, Rivne, and Cherkasy regions, as well as Kyiv city. The total cost of insurance coverage under these applications amounts to UAH 4.3 billion,” the Head of Government noted.
The option for partial compensation of insurance premiums is available nationwide. Through the Export-Credit Agency, the state compensates up to UAH 3 million of the insurance cost. A property insurance contract against war risks is concluded with an insurance company, whereupon the policyholder applies to the ECA to receive compensation.
An additional component of the program is designed for businesses in frontline regions. Companies can receive compensation for property damaged or destroyed as a result of shelling.
“The program provides coverage for losses up to UAH 30 million. The participation fee is 0.5% of the property’s value within this amount. To take advantage of the program, one must apply directly to the ECA,” said Yulia Svyrydenko.
To date, 106 applications have been approved under the program for businesses in frontline regions. The total amount of potential compensation in the event of russian attacks is UAH 1.8 billion.
The Government launched the property insurance program against war risks in January as part of the “Made in Ukraine” policy. (Government portal)