As the war in Ukraine continues to escalate, businesses operating in the region or with significant investments are facing unprecedented challenges. The ongoing conflict has created a volatile environment where traditional insurance policies often fall short, leaving companies vulnerable to substantial financial losses. In response, the demand for war risks insurance has surged, prompting legal and financial experts to urge businesses to seek comprehensive coverage and legal guidance.
Dmytro Hruba, an attorney at Ilyashev & Partners Law Firm, emphasizes the critical role of legal counsel in navigating the complex landscape of war risks insurance. “Understanding the terms and conditions of such insurance is essential,” Hruba notes. “Companies must not only secure adequate coverage but also ensure that their legal frameworks are aligned with the evolving regulatory environment.” The legal firm advises businesses to conduct thorough due diligence and consult with experienced attorneys to avoid potential pitfalls and ensure compliance with international and local regulations.
Experts warn that without proper insurance and legal strategies, businesses may face severe financial repercussions. Hruba highlights that the insurance policies available are often tailored to specific risks, such as damage to infrastructure, supply chain disruptions, and liability claims. “Each policy is unique, and companies must understand the extent of coverage to protect their interests effectively,” he adds. The ongoing conflict has also led to increased scrutiny from regulatory bodies, further complicating the landscape for businesses seeking to operate in Ukraine.