**EBRD and Aon Launch $116 Million War Insurance Program**
The European Bank for Reconstruction and Development (EBRD) and the risk management firm Aon have launched a new program to help Ukrainian businesses buy war-related insurance. The program is worth 110 million euros, which is around $116 million.
**Ukraine’s Insurers Struggle**
Ukrainian insurers have struggled to offer war insurance services since Russia invaded in 2022. Many international reinsurers stopped covering war risks. This made it hard for businesses to get the insurance they need.
**The EBRD’s New Program**
The EBRD’s new program is called the Ukraine Recovery and Reconstruction Guarantee Facility. It will help reinsurance companies cover risks connected to land-based transport, like trucks and buses. The program focuses on small and medium-sized businesses. It doesn’t currently include fixed assets or maritime transport.
**Market Demand Will Guide the Program**
The EBRD’s facility was launched with support from European donors and in partnership with Ukrainian insurance companies. It will respond to market demand and won’t have a pre-determined list of companies involved. This means that it will evolve based on what businesses need.
**A Boost for Ukraine’s Economy**
The program is expected to enable insurance coverage for over 1 billion euros ($1.05 billion) in vehicles and goods in transit annually. The EBRD has invested over $5.6 billion in Ukraine since February 2022, making it a key supporter of the country’s economy.
**Support from Ukrainian Officials**
Ukraine’s Economy Minister Yuliia Svyrydenko welcomed the program, saying that it will provide much-needed support for small and medium-sized businesses. She expressed gratitude to the EBRD and all parties involved in launching this insurance mechanism.
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