The European Bank for Reconstruction and Development (EBRD) and leading professional services firm Aon are launching a tailor-made, highly innovative facility to help revitalise the war risk insurance market in Ukraine. A new Bank guarantee, designed to boost the provision of reinsurance capacity to private-sector insurers, will help to address the ongoing challenges posed by the war.
Under the new €110 million Ukraine Recovery and Reconstruction Guarantee Facility, the EBRD will support global reinsurance companies with a guarantee covering losses on certain war-related risks underwritten by local Ukrainian insurers. It aims to leverage existing market infrastructure, as well as tried and tested risk transfer mechanisms from the insurance industry, to provide the protection that private-sector investors require.
