In partnership with industry leader BitGo
BitGo wallets provide our customers with complete control, secure custody and continued access of their funds.
Direct insurance cover that protects you
A small number of high-profile exchanges, wallets and custodial solutions are insured against a platform level security breach. But it is the platform that is being insured and not you or your business and most services have no insurance at all. Where does that leave you when your account is hacked? Coincover is different. We protect your business directly.
How theft cover works
What is covered?
Theft of cryptocurrency, owned or managed by your business, to the maximum of the cover level selected, provided it was held in a wallet managed by our approved service provider.
All wallets need to be held under the same account where Coincover is the backup key holder.
The theft must have taken place during the cover period.
What is not covered?
Any occasion where you (or someone on your behalf) have sent cryptocurrency to a third party.
Failure,breakdown or disruption of the cryptocurrency blockchain.
Direct physical loss of or damage to any hardware.
All other exclusions as shown in the Terms & Conditions.
Are there any restrictions?
You must own the cryptocurrency assets and they must be held in a BitGo wallet with Coincover under your business account.
The most we will pay is the agreed cover level.
We may pay less if the value of cryptocurrency stolen is below that limit.
Theft Cover offers no excess / deductible facility.
Theft Cover may not be transferred or assigned to any third party without our written agreement.
Theft Cover will not apply if payments are not up to date.
Who is Theft Cover designed for?
Theft Cover for business has been specifically designed for businesses wishing to protect their digital assets from theft. It is available to businesses worldwide. Provided you can demonstrate ownership or management of the assets and they are held in BitGo wallets, they are eligible for Theft Cover.
How does Theft Cover work?
Theft Cover provides you with protection against malicious attack on your wallets. In the event of an attack and theft taking place, we provide a guaranteed pay out. You can continue using your wallets as you would normally and are not required to notify us of transfers.
After you have agreed the policy cover levels with us you must then register your insured wallet via our secure platform. Once you have registered you first wallet all other and subsequent wallets you create in your account are covered automatically provided they have Coincover selected as the backup key provider.
If you think you have been a victim of a theft you should contact us immediately. Our dedicated team will be waiting to support you. We will tag the funds as being stolen on the blockchain we will notify all exchanges and wallet providers and notify relevant authorities.
We investigate all claims thoroughly and aim to process all claims as quickly as possible and make pay outs with 48 hours of a decision being made. We pay claims to a maximum of the agreed cover limit.
The value of the claim is based on the quantity of digital currency stolen and its fiat currency value at the time of theft based on anexternal valuation provided by Coingecko.com. There are no hidden charges and no excess so you will receive a full pay out so long as it does not exceed your cover limit.
With Coincover you maintain 100% direct ownership of your cryptocurrency assets. A BitGo wallet protected by Coincover matches hardware for level of asset ownership with the added protection of insurance and the flexibility of anon-chain hot wallet.
What are the cover levels?
For our business customers, we offer custom cover levels to suit your needs. Our insurance experts will work with you to understand your requirements and recommend the appropriate cover level your business and any changes to further reduce your insurance costs.
We will arrange a call to understand your goals and operations quickly. Cover levels are flexible so if your requirements change, we adjust them at any time to ensure you are only paying for the cover you need.
Our prices start from as low as 0.75% of the sum insured per year, giving you peace of mind that your funds are protected against theft for a low annual cost.
Key factors that will impact the price you pay include:
- The total amount and value of funds you want to protect.
- The allocation of these funds across your wallets.
- The typical frequency and value of your transactions.
- The existing security procedures and protocols you have in place.
What types of attack are protected by Theft Cover?
Coincover Theft Cover protects against thefts of cryptocurrency resulting from the following types of attack:
Brute Force Attack
A sustained attack that submits multiple passwords, user credentials or keys to gain access to your funds.
An online attack which gains unauthorised access to and makes unauthorised use of user information, passwords and private keys to access your funds.
Usernames, passwords and private keys giving access to your funds fraudulently obtained by thieves disguised as a trustworthy entity in electronic communications.
Malicious Software (malware)
A programme which gains access to and exploits your information, passwords and private keys to access your funds. These include computer viruses, worms, Trojans and spyware.
Malware disguised as legitimate software to trick you into loading and executing it leading to passwords and private keys being compromised.
A self-replicating program that can spread throughout a network without human assistance resulting in unauthorised access to your passwords or private keys.
Weaknesses in your device or wider computer systems and networks that allow hackers to gain access to and steal your funds.n online attack which gains unauthorised access to and makes unauthorised use of user information, passwords and private keys to access your funds.
Unauthorised access to your funds gained following the theft of a mobile phone, laptop or other device containing your password or private key.
Security breaches within an organisation with access to sensitive and personal information including passwords and private keys.
You are forced by violence or threat of violence to grant access to or transfer your funds against your will.All attacks will be subject to independent verification by the local law enforcement agency.
What are my obligations?
You must tell us immediately if you suspect your assets have been stolen, and report the theft to the Police.
You must tell us of any circumstances which you think may give rise to a loss in future.
You must take reasonable care of your digital assets as set out in the Terms & Conditions.
You must take reasonable care to give us full, complete and accurate information to the questions we ask.
You must tell us if your circumstances change, and if you wish to vary the amount of cover you have.
You must help us investigate the background and/or causes of any theft and be prepared to share information with us.
How do you calculate the value of a loss?
We take the calculation of loss extremely seriously and employ a clear and robust process to ensure you are treated fairly. Once we have received your claim we carry out the following steps to calculate the loss:
- We identify the transactions on the relevant blockchains to determine the date and time of the theft and the exact amount of cryptocurrency stolen.
- To calculate the value, we use the fiat currency valuation of the cryptocurrency provided by coingecko.com at the date and time of loss.
The claim is paid at this value (capped at the agreed cover level) with no excess or initial deductible taken. We aim to pay out within 48 hrs of a decision being made.
When does the cover period start and end?
The cover starts once you have paid for your cover and completed your Coincover registration. The registration process includes confirming your identity as well as creating and linking an account or wallet with our approved service provider BitGo. The cover then ends 12 months from the start date
How many wallets can I protect together?
You can protect as many wallets as you like provided they were created with our approved service provider BitGo and you selected Coincover as the back up key holder. The cover level you have selected covers all your wallets collectively.
For example: You have two wallets protected by Coincover Theft Cover – wallet #1 with cryptocurrency valued at £9,000 in it and wallet #2 has a value of £12,000 - with a total value of £21,000.
In this example you would have needed a cover level of £25,000 to cover both wallets. if wallet #1 suffers a theft then we would pay out the £9,000 for that claim and if wallet #2 suffers a theft then we would pay out the £12,000 for that claim. If both wallets were attacked at once, the pay out would be £21,000.
Where is the cover available?
Theft Cover is available globally with the exception of countries or jurisdictions prohibited by the UK or USA governments.
What cryptocurrencies do you cover?
Coincover protects the following currencies:
100+ ERC20 tokens
What information do you require before cover can start?
Before we can place you on cover we will need have reviewed detailed information about your business, the currencies you wish to protect, the structure and nature of your wallets, who in the business has access to the finds and what level of access they have. We will also undertake due diligence around your security policies and processes. Documentation we may require includes:
- Copy of your wallet management and access policy
- Copy of recent IA and penetration testing results (if applicable)
- Copy of your Know Your Customer Policy
- Copy of your Anti- Money Laundering Policy
- Copy of your Customer Terms & Conditions
- Copy of the CV(s) of the person(s) operating the wallets