Cryptocurrency Insurance is Fact of Life
February 21, 2018
Increased cases of theft, fraud and hacking in the bitcoin trading industry has made insurance companies offer suite of services for investors. For instance, Great American Insurance Group, XL Catlin, Chubb, Mitsui Sumitomo Insurance offer its customers various insurance features which cover both internal and external threats. They include database errors, unauthorized access and theft by employees. The packages vary from 10 mln yen to 1 bln yen that is equal to 88 500 and 8 500 000 dollars respectively.
Another company which has recently launched its insurance services in crypto trading is Line. Though Line is primarily a messenger app, it has also established a new department that is to offer a buy and sell bitcoin platform for its users. The platform will also provide for loans and insurance coverages. The company already has millions of users who are the target audience for these services.
Insurance industry entering crypto market is a good idea which is expected to restore the health of both industries. Insurance companies however must exercise caution before offering their covers. This would allow them dealing with legal firms only and avoid any other companies related to money laundering.