Ukraine has approved state payments of up to 80% for eligible vessel-related war losses insurers do not cover, while its transport ministry says war risks and scarce insurance weigh on port calls.
The Cabinet of Ministers’ Resolution No. 1248, dated Oct. 7, covers owners, operators and charterers seeking compensation. It applies to Ukrainian- and foreign-flagged sea and inland vessels in Ukraine’s territorial waters, on the Temporary Maritime Route or in the country’s seaports.
Eligible losses include a vessel’s destruction or damage, cargo that is lost or spoiled, emergency rescue costs and harm to crew members. Claimants have 180 calendar days from an incident to file. The transport ministry says the program puts part of the wartime risk on the state, while the rules provide budget funding for qualifying claims.
The order limits coverage to damage incurred from the date the resolution takes effect. It assigns eligible claims for damage incurred in 2026 to funds in the 2027 state budget, subject to available appropriations. The ministry’s announcement did not specify a total program allocation.
The ministry says elevated war risks and limited insurance availability have affected shipowners’ decisions to call at Ukrainian ports. It describes the new mechanism as support for shipping and Ukraine’s export-import logistics. A similar framework was approved in 2023, when the government said up to 20 billion hryvnias had been allocated for the purpose. That earlier process required written refusal from an insurer and a claim within 90 days of the refusal.
In a separate development, President Volodymyr Zelenskyy told Bloomberg that Turkey, Egypt and India had proposed allowing food-carrying ships under their flags to call at Ukrainian and Russian ports, with both sides agreeing not to attack them. Bloomberg reported that Zelenskyy said Russia opposed the proposal despite appeals from intermediaries. He also said Ukraine could not move the same volume of shipments by rail.
