The Ukrainian government is preparing to launch a special war risk insurance fund that should help businesses compensate for losses from Russian attacks. Direct damage to business since the beginning of 2026 is approaching $8 billion, yet the vast majority of possible losses remains without insurance coverage.
The scale of losses and preparation of the new support mechanism was announced by Prime Minister of Ukraine Serhiy Koretskyi.
Back in October, the head of government estimated direct losses of Ukrainian enterprises from Russian strikes at $7.7 billion. This amount includes destroyed and damaged production facilities, warehouse and logistics facilities, as well as destroyed goods.
According to Koretskyi, in 2026 more than one million square meters of real estate of various purposes were destroyed or significantly damaged in Ukraine. The warehouse and logistics infrastructure suffered especially severely.
According to government estimates, more than 90% of expected losses of Ukrainian businesses remain uninsured. To change the situation, Ukraine hopes to attract $2–3 billion from international partners to expand insurance coverage.
These plans were announced by the Ministry of Economy following the meeting of the Ukraine Donor Platform held on November 10 in Lviv.
The launch of the new war risk insurance fund is scheduled for 2027. The government intends to provide for an initial contribution of about $1 billion in the state budget and supplement it with financing from international partners.
Previously, Koretskyi explained that the purpose of the fund is to create a reserve capable of covering 40–50% of enterprises' losses from attacks. A simplified procedure for applying for compensation is envisaged, but the final terms of operation of the new mechanism are still being agreed upon.
Representatives of the United States, France, the United Kingdom, Norway, Switzerland, Italy and Germany, as well as the World Bank, the International Finance Corporation and the European Bank for Reconstruction and Development, are involved in discussing financing.
At the same time, a separate state program of war risk insurance for business is already operating in Ukraine. In September, the Cabinet of Ministers expanded its effect to Kyiv and Kyiv region, increased the maximum compensation of insurance premiums and supplemented the list of property covered by support.
The new fund should expand the possibilities for insurance and recovery of enterprises after Russian attacks. However, the decision on its final model and sources of financing has not yet been made.
