Insurance in the face of the Russian-Ukrainian war

AM Best says the Russian invasion of Ukraine will have a significant impact on the global insurance market. Financial sanctions against Russia will significantly impact capital markets while the risk of potential cyberattacks increases.

Sanctions against Russia will potentially impact oil prices, commodity prices, tourism, and the economies of some countries.

Insurance and reinsurance companies could face difficulties in covering Russian risks. The most affected stakeholders are those underwriting large energy and infrastructure risks, including London market insurers and international reinsurers.

The balance sheets of Russian insurers will also be impacted.

A large-scale cyber-attack could result in major economic and insured losses.