Vienna Insurance Group expands war risk insurance in Ukraine

Vienna Insurance Group (VIG) is expanding its war risk insurance capabilities in Ukraine through its subsidiary, USG. USG has joined the Ukraine Recovery and Reconstruction Guarantee Facility (URGF), an initiative established by Aon and the European Bank for Reconstruction and Development (EBRD).

The facility, which is supported by the European Union, has been increased from 110 million to 150 million euros. This expansion provides additional reinsurance capacity to help Ukrainian businesses manage risks associated with the ongoing conflict, allowing them to maintain operations and continue investments despite increased attacks on infrastructure.

To date, the facility has provided reinsurance coverage exceeding 500 million euros for goods and vehicles across approximately 10,000 policies. The scope of coverage has also been broadened to include the transport and storage of gas-related assets, as well as protection for goods held in intermediate storage, supplementing existing coverage for inland freight, motor vehicle damage, and rail vehicles.