["Family Relations, EarlyView. ", "\nABSTRACT\n\nBackground\nIn response to the terror attacks in Israel on October 7, 2023, and the subsequent war, families from northern and southern Israel were internally displaced. Under non‐violent circumstances, parental self‐efficacy and a high‐quality parent–child relationship have been identified as exerting positive effects on children's mental health and development. Using the allostatic load model as our guiding theory, we examined the moderating role these variables play during continuous armed conflict in association with parental exposure to war and child distress under internal displacement.\n\n\nMethod\nThe sample comprised 285 internally displaced parents. Demographic information was measured in addition to symptoms of parental depression and anxiety, exposure to war‐related events, parental self‐efficacy, the parent–child relationship, and child distress.\n\n\nResults\nParental efficacy and a high‐quality parent–child relationship buffered the negative effects of war‐related stress among children. Less severe or indirect exposure allowed these protective factors to mitigate distress, whereas more direct and severe exposure weakened these effects.\n\n\nConclusions\nParental efficacy and the parent–child relationship are key elements in supporting children's mental health, though their protective role diminishes under high parental war exposure. These findings highlight the importance of supporting parents in managing war‐related stress. Once stabilized, interventions targeting parental efficacy and the parent–child relationship may indirectly enhance children's well‐being, particularly under lower exposure conditions.\n\n"]