Social Aspects of Insurance Coverage in Ukraine in Conditions of Martial Law

The article deals with the problem of insurance coverage in Ukraine in conditions of martial law. The research outlines the views of scholars on the essence of the concept of ‘insurance protection’ and highlights the main aspects of this category. The importance of social aspects of insurance protection in wartime is clearly explained; the current state of insurance market in Ukraine is thoroughly analyzed. It is determined that the largest decline in the volume of insurance companies’ activities occurred at the end of Q1 of 2022. In Q3 and Q4, the decline continued although it was less rapid. In the conditions of a significant economic downturn, the insurance market underwent considerable transformations: sales of insurance products declined; the number of requests for deferred payments and termination of insurance contracts increased. Due to these facts the financial stability and solvency of a significant number of insurance companies deteriorated, and non-resident reinsurers began to refuse to provide reinsurance coverage. In the first half of 2023, the insurance market showed a slight recovery. This was facilitated by introducing new insurance products that provided partial coverage of war risks. The article analyses insurance products that cover war risks. It is determined that such insurance products have many limitations due to the difficulty in assessing possible losses of an insurance company, their inability to calculate the cost of insurance premiums, a significant level of losses, and the lack of reinsurance of war risks abroad. The authors suggest strategic and operational measures to stabilize the insurance market of Ukraine, which will not only contribute to the overall stabilization of insurance market, but will also significantly increase its sustainability and improve its development indicators.