Risk requirements: Russian Federation may reduce limits of insurance against terrorism

The withdrawal of the Russian National Reinsurance Company (RNPC) from the anti-terrorist insurance pool will not leave such risks unprotected. We are talking about the largest reinsurer in Russia, but this decision will not be critical for the merger — the pool will continue to operate anyway. Although the market's opportunities for large limits may become limited, Izvestia found out. First of all, this will affect industrial, oil and gas, energy, infrastructure and warehouse facilities: businesses may raise the prices of policies, as well as oblige companies to cover part of the damage themselves. How RNPC will work without a pool and a pool without RNPC — in the Izvestia article.

Who insures anti-terrorist risks in Russia

The Russian National Reinsurance Company (RNPC, a 100% subsidiary of the Central Bank) is going to terminate its membership in the Anti-terrorist insurance Pool (RATSP). Three sources confirmed this information to Izvestia. According to one of them, the company has not yet withdrawn from the merger, but it has such plans. At the same time, as the second interlocutor noted, the situation will not have a critical impact on the market: RNPC will not stop reinsuring risks.

Alexander Gulchenko, Chairman of the RATSP Supervisory Board, told Izvestia that the association was not yet planning a meeting to consider the admission and exclusion of participants. The RNPC is now reinsuring the risks of terrorism and UAV attacks. Last month, the pool participants, including this company, approved the volume of their own deductions — a part of the risks that each organization is willing to leave on its own responsibility, he added.

Chairman of the Bank of Russia Elvira Nabiullina

Photo: IZVESTIA/Eduard Kornienko

Earlier, on July 24, the head of the Bank of Russia, Elvira Nabiullina, said that insurance companies and RNPC have sufficient safety margin and resources to compensate for the damage caused by the increased frequency of drone attacks. According to her, the sector does not need additional support measures yet.

At the same time, by the end of 2025, the anti—terrorist insurance pool accounted for just under 21.5 billion rubles, the maximum amount of payment per insurance event.

How does RNPC differ from other insurance companies

Until 2022, 20-30 of the largest international companies that accepted reinsurance risks were operating in the Russian market. However, after the start of the special operation, they completely stopped cooperating with their Russian colleagues.

In the same year, the role of RNPC in the Russian reinsurance system increased significantly. The company has become one of the key elements of the infrastructure providing reinsurance capacity for large and complex risks, said Sergey Biryukov, Deputy General Director of insurance broker Remind. Now the organization remains a part of the Russian reinsurance system. At the same time, the reinsurer's withdrawal from the pool of insurers does not in itself mean the termination of its participation in dealing with such risks, the expert added.

Photo: IZVESTIA/Sergey Lantyukhov

The company, even after leaving the RATSP, will continue to take the risks of the pool into reinsurance, but on its own terms. At the same time, according to the source, the national reinsurer initially should not have been part of the association: its task was to provide additional capacity beyond the capabilities of the other members — ordinary insurance companies. This system is technically more balanced.

What kind of property can be insured against the risks of terrorism

In Russia, there is no single approach to covering anti-terrorist and military risks, a third source told Izvestia. What the policy includes depends on the terms of a specific contract: in some cases, protection extends to illegal actions of third parties, in others — only to terrorism, provided that criminal proceedings are initiated, he added. This applies to both the property of companies and the housing of citizens, explained Andrey Tverskaya, Director of Corporate Insurance at Zetta Insurance. At the same time, conditions are increasingly determined individually, taking into account the specifics of the facility and the level of risk.

Against the background of regular drone attacks and cases of infrastructure damage by missiles, Russian insurers began to include such risks in coverage, the Izvestia source continued. We are talking about both citizens' housing and business property — large logistics facilities, warehouses and industrial enterprises. However, the possibility of obtaining such protection is still determined individually.

One of the key factors remains the location of the target: the higher the probability of an attack, the more difficult it is to obtain insurance coverage. Thus, it is much easier to insure an object in Khabarovsk today than a similar object in the Belgorod region, which is regularly attacked by drones, the source noted.

Photo: IZVESTIA/Pavel Volkov

Sergey Khudyakov, co-owner of insurance broker Mains, noted that warehouse real estate is gradually moving into the category of the most difficult objects to insure, along with energy, oil refining and fuel infrastructure enterprises. For example, a few weeks ago, 10 leading insurance companies refused to cover fuel storage facilities. If they are willing to take on such risks, they offer conditions with deductibles (the policyholder covers part of the damage himself) in the hundreds of millions of rubles, a small liability limit and a tariff of up to 20%.

How will insurance change after RNPC leaves the pool?

According to the Izvestia source, the departure of the RNPC is capable of complicating the work of the RATSP, but it will not endanger its existence. The company's decision will only lead to a reduction in the pool's capacity. At the same time, it will enable new companies to occupy a niche or increase their share in it, according to financial advisor and founder Rodin.Capital Alexey Rodin.

Currently, RNPC is legally prohibited from reinsuring at least 50% of the risk, otherwise it would be a violation. At the same time, the legislation does not provide a clear answer on what to do with the remaining part. Insurers are forced to either leave it on their own responsibility, which creates a significant burden, or look for placement on the Russian market, where there is not always enough capacity for large projects. And the last option is to "bow down" to the RNPC, asking it to provide conditions for the remaining 50% of the risk. However, obtaining such coverage is not guaranteed, a market source explained.

When RNPC exits, the pool itself will have to reduce liability limits and maximum insurance amounts for terrorism risks. However, the association will be able to continue working, distributing risks only among its participants, the source added.

Photo: IZVESTIA/Pavel Volkov

Customers can still feel these changes. If the available coverage decreases, the business will not be able to insure the property for its full value. In the event of a major accident, companies risk receiving compensation for only a portion of the damage incurred.

RNPC remains a virtual monopolist in the reinsurance market of large risks, said Yaroslav Kabakov, Director of Strategy at Finam IC. At the same time, the possibilities of transferring the risks of terrorism and drone attacks to foreign reinsurers, including from friendly jurisdictions, are limited due to sanctions, high uncertainty and low interest of foreign companies in such risks.

Nevertheless, after the departure of Western reinsurers, Russia began to look for alternative capacity in the markets of friendly countries. China and India were named among the most promising areas: their capabilities do not yet allow them to completely replace their former international partners, but in the future these markets may become one of the options for expanding reinsurance protection for Russia, at least for other non-terrorist risks.