On July 8, 2026, the Cabinet of Ministers of Ukraine adopted Resolution No. 887, which amended Resolution of the Cabinet of Ministers of Ukraine of November 28, 2025, No. 1541 "Some Issues of Providing Partial Compensation for the Cost of Property of Business Entities Destroyed or Damaged as a Result of the Armed Aggression of the Russian Federation, as well as Partial Compensation of Insurance Premiums Under War Risk Insurance Contracts."

What exactly has changed in the procedure for providing compensation for destroyed or damaged business property, as well as in the mechanism for compensating insurance premiums under war risk insurance contracts, is explained by experts of the Ukrainian Agri Council, within the framework of a project to support Ukrainian agricultural producers from affected regions in partnership with the international humanitarian organization Mercy Corps.

According to the amendments introduced, the requirement to use the property participating in the program exclusively in the enterprise's main activity has been abolished. This applies to both the compensation and the insurance parts of the program.

The mechanism for receiving compensation for damaged or destroyed production equipment and engineering networks is also being simplified. In the event of their damage or destruction, it is now not necessary to enter information into the State Register of Damaged and Destroyed Property.

An application can be submitted together with documents confirming:

• the right of ownership;
• the fact of property damage, in particular acts of the State Emergency Service, certificates of the National Police, or an extract from the Unified Register of Pre-Trial Investigations;
• the results of the assessment of the damage caused, in particular a property valuation report, a property valuation act, or the conclusion of a forensic expert.

The resolution has also abolished additional conditions for potential compensation recipients. From now on, business entities that are not registered in the State Agrarian Register, as well as those who previously received state aid in violation of the conditions for its provision or the requirements for the intended use of funds, can apply for state assistance.

Separately, the list of property that can be included in the compensation program has been clarified. It has been determined that the following machines are not included in the program: vehicles, tractors, self-propelled chassis, self-propelled agricultural, road-construction, and reclamation machines, agricultural machinery, and other mechanisms subject to state and departmental registration.

In addition, the provision on submitting applications separately for each object of damaged or destroyed property has been removed from the procedure.

Resolution No. 887 also introduces a new mechanism for coordinating direct state compensation for property located in high-risk territories with insurance indemnification.

Previously, receiving any indemnification from third parties, in particular insurance, even partial, was grounds for a complete refusal of state compensation. Now, a refusal of state compensation is applied only when the insurance or other indemnification fully covers the damage. If the insurance indemnification is partial, the state compensation is not canceled, but is reduced by the amount of the payment received.

The changes also concern the compensation of insurance premiums under war risk insurance contracts.

• In particular, the deadline for submitting applications has been extended until August 1, 2026, for enterprises that concluded war risk insurance contracts after January 1, 2026, but did not submit an application to participate in the program when arranging the contract.
• The deadline for applying to the Agency to receive compensation of the insurance premium has also been changed. Previously, the application had to be submitted within 60 calendar days from the date of concluding the insurance contract. Now it must be submitted no later than 30 calendar days after the expiry of the contract.
• For the insurance part of the procedure, the condition on using the affected property in the enterprise's main activity is also being abolished.
• In addition, the basis for calculating the annual compensation limit has been changed. The limit amount itself remains unchanged — UAH 3 million per business entity per calendar year. At the same time, the approach to determining which contracts are counted toward the limit of a specific year is changing: previously, only contracts that expired in the corresponding calendar year were included in it.
• Another change concerns the insurer's obligations. From now on, the insurer itself must check the contract's compliance with the program conditions when including a client. Previously, the check of the insurance contract's own compliance with the program conditions took place only at the stage of the compensation payment by the Export Credit Agency, that is, after the contract had already been concluded.

As a reminder, with questions arising in the operation of farms — in particular regarding participation in state support programs, tax accounting, land relations, the reservation of workers, and confirmation of criticality — agricultural producers can contact the UAC legal advisory line free of charge.

To get a consultation, submit your request via the electronic form: https://forms.gle/v56UzTAsrD9Zrx998

For information, contact the legal advisory line at: +38 067 522-03-43

For reference:

MERCY CORPS is an international humanitarian organization that operates in more than 40 countries worldwide and provides assistance to people affected by disasters, wars, poverty, and the consequences of climate change.