Understand the impact of the Ukraine conflict from a cross-sector perspective with the Global Data Executive Briefing: Ukraine Conflict

The impact of sanctions on Russia after the Ukraine invasion is “manageable” for Britain’s re/insurers along with the wider financial services sector, Reuters reported citing Bank of England (BoE) deputy governor Sam Woods. 

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Last week, the UK government decided to block Russian firms’ access to Lloyd’s and the London market for aviation/space insurance.

Speaking to a House of Lords committee meeting on insurance regulation, Woods said: “We looked very carefully at whether we think these are manageable in terms of any collateral damage or impact on the UK financial services sector, and so far we are comfortable that they are.”

Other than the insurance market, the sanctions would also block several key Russian lenders from SWIFT, the global payments messaging system. 

Additionally, the London Stock Exchange has halted trading in over 30 Russian firms. 

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Financial Conduct Authority executive director for consumers and competition Sheldon Mills told the committee that with the sanctions in place, Russian firms will not be able to renew or extend their existing re/insurance policies. 

Key insurance players such as The Lloyds of London along with others will have to take steps to identify Russian entities and block their access to re/insurance cover, Mills added. 

Additionally, the Russian firms will not be able to receive payouts on their existing and new re/insurance policies. 

Speaking to the committee Mills said: “Whilst that is a significant exercise, it is one we are confident the industry can do.

“It is not something which is completely unusual for the market, although the size and scale and urgency of this is slightly different.”