The Cabinet of Ministers has included Kyiv and the Kyiv region in the list of high-risk areas under the state programme for insuring businesses against war risks. The decision was taken on 17 September to enable businesses in the capital and the region to make greater use of compensation for damaged property and insurance against war risks with immediate effect. However, this status relates specifically to the business support programme and does not imply the introduction of any new restrictions for residents of Kyiv or the region.
- Kyiv and the Kyiv region have been added to the list of high-risk areas.
- The changes relate to state support for businesses.
- The list of items eligible for compensation has been expanded.
- The support has also been extended to rented property.
- The limit on insurance premium compensation has risen to 5 million UAH.
What does the new status mean for Kyiv and the region?
The most important clarification: this refers to not about the territory’s new overall security status, and regarding classification within the framework of a specific government business support programme.
The inclusion of Kyiv and the Kyiv region on the high-risk list means that businesses whose assets are located or operating there will have access to a wider range of mechanisms for compensation for war risks. The government explains the decision on the basis of regular Russian attacks at businesses, warehouses and logistics infrastructure.
For ordinary citizens, this decision does not introduce any new rules on movement, evacuation, curfews or other restrictions.
For which assets will businesses be eligible for compensation?
At the same time, the Cabinet of Ministers has significantly expanded the list of assets covered by the programme. It now includes fuel for excise warehouse operators, vehicles for the transport and storage of fuel, agricultural machinery, lorries and trailers weighing over 7.5 tonnes.
Compensation for damage or destruction may also apply to the enterprise’s movable property if it was passing through a high-risk area in transit. This is particularly relevant for logistics, fuel, agricultural and transport companies operating in Kyiv and the surrounding region.
Up to 5 million UAH — what exactly will the state compensate for?
There is an important detail here. The amount was increased from 3 million to 5 million hryvnias specifically to cover the insurance premium, that is, the portion of a business’s expenditure on insurance against war risks.
The maximum amount will be up to 5 million UAH per business entity per year, in total across all insurance policies.
In other words, this does not mean that the state will automatically pay a maximum of 5 million UAH for every business that has been destroyed. Compensation for damaged or destroyed property and compensation for the cost of the insurance premium — two separate programme mechanisms.
The support has been extended to rented property
Another important change is that the insurance premium compensation scheme now also applies to leased property.
This means that a business does not necessarily have to own the premises, warehouse or other property in order to benefit from the relevant insurance support, provided that the other conditions of the scheme are met.
The government has also simplified the list of required documents and the decision-making procedure at the Export Credit Agency.
Why were the changes introduced at this particular time?
The state programme for insuring business against war risks has been in operation since 1 January 2026.
According to government figures, the following have already been approved under the scheme for compensation for damaged or destroyed property 323 claims totalling 6.8 billion hryvnias in potential compensation. Businesses have submitted 195 applications for compensation of insurance premiums, and decisions have already been made on 39 of these, totalling over 56 million hryvnia.
The draft budget for 2027 provides for a separate programme to insure against war risks; however, the government has decided to expand the existing scheme immediately, without waiting until next year.
So, for Kyiv and the Kyiv region, the new status means, first and foremost, more opportunities for businesses to insure their property and receive state support following war damage, rather than a change in the region’s day-to-day status for its residents.
