According to forecasts from the National Bank of Ukraine (NBU), Ukraine's insurance market could increase its share of the economy from about 1% of GDP to 5-7% after the country's entry into the European Union, Forinsurer reports.

If the insurance market grows to UAH 70 billion in 2026, and Ukraine's GDP reaches UAH 9-10 trillion, insurers can expect UAH 450-650 billion in insurance premiums after Ukraine's accession to the EU.

According to NBU Governor Andriy Pyshnyy, the Ukrainian insurance sector has already undergone significant cleanup and regulatory transformation. The market is now beginning to attract attention of international investors, and further approximation to European standards could dramatically increase its scale. If the NBU's forecast is correct, the size of the Ukrainian insurance market could increase several-fold over the next five years. Such a scenario requires capital, investors, transparency, legislative adaptation, and clear operating rules for new entrants.

The Ukrainian insurance market has undergone a profound transformation over the past three years and has reached a level that allows it to attract international capital even in times of war. The head of the NBU emphasized that "the insurance market has been almost completely cleared of shady and fraudulent institutions, and fictitious reinsurance has ceased". Nearly 100% of insurers have a transparent ownership structure and a proper business reputation, and approximately 90% of their assets are concentrated in highly liquid instruments. "The insurance penetration rate has increased to 0.81% of GDP for the first time since 2022", the head of the NBU noted. According to the National Bank, Ukraine's banking sector already complies with European regulatory requirements by approximately 78%. For the insurance market, the compliance rate is approximately 55%. It is this gap that determines the scope of further insurance reforms.

European integration could become a powerful catalyst for the industry growth. In EU countries, insurers act as major institutional investors, accumulating long-term financial resources and investing them in infrastructure, business, housing construction, and economic recovery. For Ukraine, growth of the insurance market to 5-7% of GDP will mean broader protection for citizens and businesses, greater long-term investment resources, and an additional financial instrument for post-war recovery.

Previously, Andriy Pyshnyy noted that Ukraine is accelerating reforms of the banking and insurance sectors to align with European Union standards by 2028, despite the challenges of wartime. Such changes should strengthen investor confidence and facilitate deeper economic integration with the EU.