Ukrainian drone attacks spur insurance hikes in Russia
After a wave of drone attacks on facilities in Russia, insurers have raised policy prices significantly and lowered the payout amounts, writes the daily "Kommersant." Prices were raised in response to the increase in incidents involving Ukrainian drones, it was added.
The co-owner of insurance broker Mainsgroup estimated that the cost of terrorism and sabotage insurance policies has increased 120 times for manufacturing enterprises and 70 times for refineries. In the case of warehouse facilities, entrepreneurs are paying seven times more for insurance than previously.
Drones over Russia. Insurance prices sharply up
From February 2022 to August 2023, regional authorities in Russia reported Ukrainian drone attacks over 500 times. Just this past Sunday, the defence ministry reported the shooting down of 158 drones.
- At the same time, insurers have lowered the payout amounts. Before the war, a company opting for maximum insurance protection could expect a payout of 80% of the incurred losses, but now the highest payout would reach 50-70%. - Independent expert Andrey Barkhoda was assessed, as quoted by the Moscow Times.
- Despite rising prices and decreasing payouts, the demand for drone attack insurance has increased, and currently, every second business client of insurance agencies is interested in it - he added.
