Overview
Aon and the European Bank for Reconstruction and Development (EBRD) have increased the Ukraine Recovery and Reconstruction Guarantee Facility (URGF) from €110 mn to €150 mn, expanding reinsurance capacity for Ukrainian insurers covering war-related risks.
The facility, managed by Aon, has already supported more than €500 mn in reinsurance coverage for goods and vehicles across nearly 10,000 policies.
- Aon and the European Bank for Reconstruction and Development (EBRD) have expanded Ukraine’s Recovery and Reconstruction Guarantee Facility from €110 mn to €150 mn to support war risk insurance.
- The facility has enabled more than €500 mn in reinsurance coverage across nearly 10,000 policies, with premiums exceeding reported claims and no calls on the EBRD guarantee.
- Ukrainian insurers UNIVERSALNA and USG have joined the program, which now covers gas transportation and storage assets and goods temporarily held in warehouses.
The expansion comes as Russian attacks on Ukraine’s energy, transport, logistics and civilian infrastructure intensify, while renewed restrictions affecting Black Sea ports place additional pressure on businesses and supply chains.
War risk insurance remains an important source of financial protection for companies seeking to maintain operations and investment despite the conflict.
Ukraine war risk insurance facility expands coverage
Under the URGF structure, the EBRD provides global reinsurer MS Amlin with a guarantee against losses arising from war-related risks underwritten by participating Ukrainian insurers.
The arrangement gives local insurance companies access to reinsurance capacity that would otherwise be difficult to obtain, enabling them to offer additional coverage to businesses exposed to military risks.
According to Aon and the EBRD, premiums generated by participating policies have exceeded reported claims to date. MS Amlin has not called on the EBRD guarantee.
The facility is also expanding its network of Ukrainian insurance partners. UNIVERSALNA, part of Canada’s Fairfax Financial Group, and USG, part of Vienna Insurance Group, are joining existing participants INGO, Colonnade and UNIQA.
The program’s coverage has been extended to gas transportation and storage-related assets, as well as inventory held temporarily in warehouses.
These additions complement existing protection for inland cargo, motor vehicle damage and railway rolling stock.
The facility is supported by France, the United Kingdom, Norway, Switzerland and the TaiwanBusiness–EBRD Technical Cooperation Fund. Additional capacity is backed by European Union donor coverage through the Ukraine Investment Framework (UIF).
EBRD and insurers seek to strengthen Ukraine’s insurance market
“The URGF is a critical tool that helps businesses in Ukraine to manage their risk and continue operating in a war environment,” said Odile Renaud-Basso, president of the EBRD.
She said the expanded program would provide additional support to companies facing difficult operating conditions.
Greg Case, president and CEO of Aon, said insurance against war-related losses was necessary to maintain investment and support Ukraine’s economic resilience. He noted that the participation of UNIVERSALNA and USG would extend protection to more businesses while supporting preparations for recovery and reconstruction.
Martin Burke, chief underwriting officer at MS Amlin, pointed to continued demand for war risk coverage among Ukrainian companies that remain commercially active despite the conflict.
Bringing in more reinsurers and additional capacity will be vital to supporting Ukraine’s economic resilience and longer-term recovery.
Martin Burke, chief underwriting officer at MS Amlin
Oleksiy Muzychko, CEO of UNIVERSALNA, emphasized the importance of the facility for Ukrainian businesses, particularly agricultural companies. He said participation would increase the insurer’s ability to provide war risk protection and help clients maintain operations.
Pavlo Nelga, CEO of USG, welcomed the increased capacity and said the company intended to contribute to Ukraine’s economic development and eventual postwar reconstruction.
Aon expands war risk insurance capacity for Ukraine
The latest expansion forms part of Aon’s broader efforts to support Ukraine’s insurance market and mobilize capital during the war.
The company has coordinated more than $500 mn in public and private capital commitments intended to strengthen economic activity, encourage foreign investment and support reconstruction.
Previous initiatives include a $350 mn insurance program developed with the U.S. International Development Finance Corporation (DFC) in 2024 to increase insurance capacity and facilitate investment.
Aon also worked with Marsh McLennan to encourage the global insurance and reinsurance industry to reconsider blanket exclusions for risks originating in Ukraine, Russia and Belarus.
In December 2024, Aon and the EBRD established the original €110 mn war risk insurance facility. The company has also introduced a Ukraine Early Careers Program to employ displaced Ukrainians in its offices.
The increase to €150 mn, together with additional participating insurers and broader coverage, is intended to improve access to commercial war risk protection while developing a more sustainable domestic insurance market.
