Finance and insurance

What changes in a crisis or conflict

1) A power cut immediately hits the ability to pay

When the power goes out, tills, card terminals, cash machines, online banking and parts of mobile and data connections often fail too. Cash then becomes the main short-term alternative. At the same time, availability falls: cash machines only work with power and network, branches can only operate to a limited extent, and transport and refilling become harder. In such a situation, a sudden rush for cash (“everyone withdrawing at once”) can make things worse – not because cash has “gone”, but because dispensing and logistics are not designed for an abrupt rise in demand.

2) Digital dependency as a structural risk

Payment systems depend on IT, communications and energy. Cyberattacks, mobile network outages, power disruptions or manipulation of IT service providers can severely restrict the ability to pay, settle and plan. When card payments and online banking fail, demand shifts abruptly towards cash and analogue procedures.

3) Liquidity pressure and prioritisation

In the event of collective defence, businesses often experience several effects at once: supply chain disruptions, less predictability, higher costs (energy, transport, security) and, at the same time, an urgent need for liquidity. Those who remain stable are those who can sustain core processes financially and prioritise payment flows.

4) Risk to trust and the information situation

In hybrid situations, disinformation can deliberately target financial systems: rumours about banks, alleged account freezes or manipulated news. When reliable information is lacking, the risk of overreaction rises. Crisis communication thus becomes a stability factor in its own right.

Insurance: where the limits become visible

Insurance provides stability in normal times. In the event of collective defence, however, risks arise that many policies do not cover, or cover only to a limited extent – for example because of war clauses or exclusions for war-like events. This creates uncertainty: which damage is covered and which is not. For businesses, reviewing policies and coverage limits therefore belongs in resilience planning, not just in claims handling.

What resilience means in practice

1) Ability to pay even without digital normality

• defined emergency processes for outages of online banking and card infrastructure
• prioritisation of internal payment flows (wages, procurement, fuel, spare parts)

2) Cash logic

• a cash reserve mindset for businesses and households
• assume that cash machines, card terminals and online banking may fail
• define emergency processes: till, payout, receipts, secure storage
• prioritise cash payments in emergency operation

3) Cyber resilience as the core of financial stability

• strong identity and access management
• emergency plans for ransomware, DDoS and data manipulation
• practised restart procedures and crisis communication

4) Clarify insurance and liability in advance

• policy review: exclusions, war clauses, cyber cover, supply chains
• ability to document: proof of damage, process logs, reporting channels
• interfaces with authorities: what applies in the event of requisition, prioritisation or sovereign intervention

What this means for businesses, local authorities and households

Businesses should treat emergency payments, cash management and policy review as part of overall resilience, not as mere compliance.

Local authorities and administration need the ability to make payments and procure even when digital systems are disrupted.

Households should know that card payments are not guaranteed. A small cash reserve and basic preparedness increase the ability to act and reduce pressure on systems that have to prioritise in an emergency.

Preparedness and emergency supply laws

Energy: Energy Security Act (EnSiG)
Payment systems, cash machines and branch operations depend directly on electricity and telecommunications. The EnSiG is relevant because energy outages can quickly lead to malfunctions in payment systems, so prioritising supply also supports financial stability.

Food: Food Security and Preparedness Act (ESVG)
In supply crises, purchasing power, ability to pay and cash/card payments directly affect how retail supplies people. Securing supply covers not only goods but also billing, procurement and the economic staying power of supply chains.

Water: Water Supply Security Act (WasSiG)
Water crises cause economic damage, business interruptions and higher costs, for example for emergency supply, cleaning and downtime. Orderly management limits follow-on costs and creates predictable conditions for businesses, local authorities and insurance matters.

Postal Act (PostG) and Telecommunications Act (TKG)

• PostG:: part of the communication, documentation and delivery (e.g. letters, proofs) in finance and insurance still takes place physically, especially when digital channels are disrupted. The PostG governs the framework for the postal services these processes rely on.
• TKG: Payment systems, banking and insurance IT and customer communication depend on networks and availability. The TKG is relevant because it forms the regulatory framework for the telecoms infrastructure without which digital financial processes cannot work.

Transport and logistics: Transport Security Act (VerkSiG)
Payment systems and cash logistics also depend on transport (cash supply, branch operations, security transports). The VerkSiG is relevant because transport prioritisation during disruptions affects whether cash supply and basic business functions remain stable.

Resilience regulation for critical infrastructure (physical & cyber)

• NIS2 is relevant because payment systems and financial processes depend on IT availability, and digital disruptions can quickly have systemic effects.
• The KRITIS Umbrella Act complements this where the physical resilience of critical sites and services (emergency operation, restart) becomes part of supervision.