When Russia launched its full-scale invasion of Ukraine in February 2022, most people would rightfully think of survival, not their business operations.
Mykhailo Hrabovskyi (pictured on the rightmost and below) was outside the country when it happened. For the insurance executive, the first days of the war were a blur of exhaustion and adrenaline.
“I had a serious injury I’d sustained just hours before, and I could barely move,” he recalled to Insurance Business. “There were no flights, but I had to get home, no matter what.”
It took days of travel across multiple borders, often with little to no sleep, before Hrabovskyi made it back. As head of regional division at ARSENAL Insurance Company, one of the largest carriers in Ukraine, he was accountable not just to his family, but also to his team.
“I had to make decisions quickly, one after another,” he said.
In the years since the conflict began, Hrabovskyi has guided his regional business unit through uncertainty, disruption, and direct danger, all while keeping the promises ARSENAL IC made to its clients.
Hrabovskyi has spent over 18 years in the insurance industry, 14 of them as a regional director. He joined ARSENAL IC 13 years ago, at a time when the company was still evolving into a national leader.
“What impressed me most was the values of the company’s owners,” Hrabovskyi said. “Professionalism, openness, deep responsibility. They weren’t just chasing results; they aimed to build a true leadership company with a culture of entrepreneurship.”
These values helped define Hrabovskyi’s leadership style. He likened each branch of the company to a “mini-country” with its own budget and decision-making authority.
“The company provides tools, brand recognition, and financial backing. But everything else is up to you,” he said. “If you’re ready to take responsibility for results, you’re free to act, to take risks, and to lead.”
It was this culture of entrepreneurship that would later be tested as war disrupted every aspect of their business.
On February 24, 2022, the day Russia launched its ground invasion into Ukraine, ARSENAL’s corporate group chat of executives and shareholders turned from a business channel into a lifeline.
According to Hrabovskyi, ARSENAL IC CEO Sergey Avdeev sent a video message to employees to lift their spirits. Hrabovskyi himself reached out to staff and clients to reassure them that, despite everything, ARSENAL IC would fulfil its obligations.
The insurer processed claims quickly, even for total losses. Colleagues evacuating from the east stayed in regional offices. “There were no instructions for any of this,” Hrabovskyi said. “We were improvising in real time.”
At one point, he recalled, a missile strike hit just a few buildings away from their office. “The scariest thing was realizing there were no truly safe places left in the country,” he said. “But we preserved not just operational capacity, but also our clients’ trust. That’s one of our proudest achievements.”
Amid immense physical, emotional, and logistical strain, Hrabovskyi said he braced himself and his team for indefinite uncertainty.
“In the early days, I gathered my team and told them the truth: We don’t know what’s going to happen next,” he said. “I can’t promise you anything except one thing: we need to do our job.”
Maintaining business continuity amid war has meant solving problems that few executives ever face. Fuel shortages, blackouts, and internet outages became daily challenges.
“Sales were the last thing on our minds,” Hrabovskyi said. “We simply stood by our word and helped where we could. Sometimes that meant sourcing fuel for a client. Sometimes it meant offering someone a place to stay. Other times, it meant solving in 15 minutes what used to take a week.”
Globally, many insurance companies struggle with workforce engagement and burnout. For Hrabovskyi, the war clarified what truly motivates employees.
“In wartime, KPIs and bonuses don’t work,” he said. “Only meaning does.”
He has always avoided hiring people who don’t share his values, and that philosophy has been vindicated. The lesson, he believes, applies in peacetime too. “If someone doesn’t understand the ‘why,’ they will eventually lose their connection to the work,” he noted.
From a business perspective, war also permanently altered the nature of risk in Ukraine. But ARSENAL IC has adapted, launching new products covering missile and drone attacks, embracing full digitalization and remote inspections, and even integrating AI into claims and risk assessment.
“Client expectations are now higher than ever when it comes to service speed and claim payouts,” Hrabovskyi said. “That pushes us to constantly raise the bar as well.”
The conflict has crystallized the broader purpose of insurance for Hrabovskyi. “Insurance is not just a business,” he said. “It has become a core part of the country’s recovery infrastructure.”
He cited agriculture as an example. With ports blocked, some producers built inland processing plants. But banks refused to lend unless collateral was insured. It was a similar story for Ukraine’s logistics, railcar expansion, and cargo protection sectors.
“Without solid insurance coverage, there is no mortgage market, no investment flows, no launch of new ventures,” said Hrabovskyi.
The war scattered ARSENAL IC team members temporarily, but within months, most had returned. The company adjusted internal processes, reshaping schedules, redistributing workloads, and streamlining functions. Today, ARSENAL IC is not only fully operational but stronger.
“We’ve gained flexibility, leadership maturity, and an improved ability to respond to external challenges,” Hrabovskyi said. “But our values remain the same: support for our clients, fulfillment of obligations, and responsibility in every decision.”
Asked what advice he would give to leaders in more stable markets, Hrabovskyi said, “Don’t wait for a crisis to truly see your people. Build a culture of support, dialogue, and trust before disaster ever arrives.”
He also borrowed words from Marina Avdeyeva, co-founder of ARSENAL IC, chairwoman of its supervisory board, and the person who brought him on board.
“‘Even if our company disappeared overnight, we could rebuild everything again, as long as the team survives,’” Hrabovskyi quoted. “And I truly believe that.”
