How benefits for a free car for veterans will change

What a veteran feels when it comes to a state-provided car

Imagine a veteran with a disability who has waited for years for a car. For some it is a matter of mobility and being able to work. For another it is a chance to regain independence. Today, instead of a specific vehicle, the proposal on the table is to receive a partial compensation to buy a car independently.

This change affects people who have stood in line for years and those who are only beginning to apply for the benefit. They do not know whether they will lose the right to a free car and how long they will wait for payments. The committees decision opens a new procedure but does not provide immediate clarity for those who need transport today.

veteran beside a car with documents near a state centre
veteran beside a car with documents near a state centre

What exactly is proposed to change in the law

Currently paragraph 22 of part one of Article 13 of the Law of Ukraine «Pro status veteraniv viiny, harantii yikh sotsialnoho zakhystu» guaranteed persons with disabilities resulting from the war the right to receive a car free of charge on a priority basis. In practice this provision was blocked for years because of a lack of budget financing and complicated procurement procedures.

Now Komitet Verkhovnoi Rady z pytan sotsialnoi polityky ta zakhystu prav veteraniv has supported a draft that proposes a model of partial compensation for the cost of a car bought privately. The documents are intended to supplement the current system, but they do not provide a clear answer for those who are already waiting for a free car.

How the three legislative concepts differ

All three draft bills share the same overall aim: to introduce a modern mechanism of partial compensation. However, they differ fundamentally in who would be covered by payments and when the scheme would start operating.

Main draft

Under the main draft bill, the right to compensation would be granted to persons with disabilities resulting from the war in I and II groups. A lengthy transition period is proposed. Until 1 January 2029 payments would be provided only to the I group, and only from 2029 would the II group be brought into the system.

Thus some veterans would gain access to funds significantly later than others. The procedure for granting the benefit and the amount of compensation are to be approved later by the Kabinet Ministriv Ukrainy.

First alternative draft

The first alternative expands the eligible circle to I, II and III disability groups. Transitional provisions provide that until 1 January 2028 compensation will be paid to I and II groups, and subsequently the III group will be added to the system.

This scenario offers wider access earlier than the main draft in practice, but it still leaves questions about funding and the order in which payments will be made.

Second alternative draft

The second alternative also covers I, II and III groups but proposes a more flexible three-stage timetable. Until 1 January 2027 funds would be paid to the I group, from 2027 to 2028 to I and II groups, and from 1 January 2028 the benefit would become available to veterans in the III group.

This approach speeds up access for II and III groups compared with the main draft, but the final mechanisms and amounts remain to be regulated.

meeting of the Komitet Verkhovnoi Rady, discussing documents on car compensation
meeting of the Komitet Verkhovnoi Rady, discussing documents on car compensation

Finances and unresolved implementation issues

Sources say that, according to the drafts own estimates, the new mechanism could cost the state tens of billions of hryvnia. However, the documents themselves do not detail the sources of funding or the payment procedures.

It is also unclear how the new system will affect the legal status of those already in the queue for a free car. All drafts leave the procedure for granting the benefit and the amount of compensation to further regulation by the Kabinet Ministriv Ukrainy, so key details still need to be written out.

Radyslav Haievych

Radyslav Haievych

Editor of the News section (Finance)

Editor of the 'News' section, specializing in financial markets, macroeconomics and companies. He has an economics degree from Dnipro and experience working with local market materials. Writes quickly and accurately, and verifies data through official registers, financial reports, expert comments, and primary sources before publication.

All author's materials (1075)

Leave a reply