MS Amlin has bound a reinsurance scheme, developed in collaboration with the European Bank for Reconstruction and Development (EBRD) and Aon, to support small and medium-sized enterprises (SMEs) in Ukraine.
This initiative will provide up to €1bn in annual cover for inland cargo and transport.
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MS Amlin has pledged an initial reinsurance capacity of €80m, which may increase to €110m over a five-year period.
This capacity will support war risk policies underwritten by INGO, Colonnade and UNIQA.
The EBRD’s guarantee enables MS Amlin to transfer this exposure off its balance sheet.
The nature of these short-term policies facilitates the recycling of capital, potentially allowing the facility to extend coverage well beyond the guaranteed amount.
It is estimated that the facility could cover up to €1bn worth of goods and vehicles each year, culminating in €5bn over the duration of the scheme.
The initiative has garnered initial backing from France, the UK, Norway and the Taiwan Business-EBRD Technical Cooperation Fund.
Both the EU and Switzerland have committed to offering contributions, with additional donor support expected to increase the EBRD guarantee gradually.
MS Amlin chief underwriting officer Martin Burke said: “Expanding access to insurance is critical for supporting Ukraine’s SMEs and overall economy. By addressing a gap in reinsurance, this scheme will help boost business confidence, protect supply chains and drive economic growth.
“The facility highlights how specialist insurers can unlock investment in high-risk regions and demonstrates the key role of public-private partnerships in rebuilding Ukraine. By leading the way on this facility, we aim to attract additional market capacity, vital for Ukraine’s long-term reconstruction and recovery.”
In December 2024, the EBRD and Aon introduced the €110m Ukraine Recovery and Reconstruction Guarantee Facility.
