Despite the ongoing war, Polish companies are increasingly looking at Ukraine not only as an export market but also as a place for new investments, acquisitions and business development. Poland, one of the few countries in Europe, offers a unique insurance package for businesses planning operations in Ukraine, provided by the state export credit agency KUKE.
According to KUKE data, in just the last six months the institution has insured assets worth approximately EUR 500 million. The agency covers trade receivables, investment projects, bank lending and transport operations, filling a gap left by commercial insurers unwilling to take on war-related risks.
Trade receivables insurance allows exporters to transfer the burden of monitoring counterparty creditworthiness to KUKE specialists. The policy also covers non-payment caused by the buyer’s bankruptcy, political decisions in the recipient country, or force majeure events. Since the start of the war, KUKE has insured Polish exports worth about PLN 10 billion.
Trade receivables insurance and financing
The insurance includes a credit limit – the maximum amount the insurer will cover if the counterparty defaults. KUKE conducts ongoing monitoring of counterparties, enabling dynamic adjustment of credit limits. Exporters can also use factoring (via KUKE Finance or other factors) to unlock cash tied up in invoices, using the insurance policy as collateral for the factor.
– Trade receivables insurance provides a convenient solution for a company, relieving it of the obligation to monitor the payment reliability of the counterparty, which is carried out by KUKE specialists – noted Katarzyna Kowalska, vice president of KUKE, in a statement for WNP.
Investment protection and reinsurance for transport
For companies investing directly in Ukraine, KUKE secures banks against the risk of loan default by clients. In this case, KUKE can repay up to 100% of the borrowed funds. The maximum protection period for investments is as long as 20 years. The latest example is the takeover of MetLife Ukraine, the leader of the Ukrainian life insurance market, by PZU.
KUKE also provides guarantees for Polish firms participating in Ukraine’s reconstruction projects – such as rebuilding damaged energy or road infrastructure, constructing new public facilities, or investments by companies from other countries. The agency can arrange financing and guarantee repayment to financial institutions in exchange for including Polish enterprises in these projects.
A reinsurance programme run by KUKE allows Polish carriers performing both road and rail transport to the Ukrainian market to insure their operations. The programme covers extraordinary risks – standardly excluded from commercial insurance – including damage caused by war, terrorism, sabotage, riots or confiscation of property. KUKE covers 80% of losses, while insurers secure the remaining 20%. PZU was the first insurer in Poland to sign a reinsurance agreement with KUKE.
– Interest from the transport industry remains moderate for now – brokers and clients are asking about the terms of protection, mostly during telephone consultations. So far, inquiries have focused mainly on cargo insurance. Actual use of the product is currently visible primarily in the motor insurance segment – PZU commented to WNP.
Źródło: WNP.PL, Fot. DARYNA NAUMOVA / PAP
