Evertas Expands Crypto Insurance Offerings to Include Mining and Increases Limits

Evertas, an insurance company focused on digital assets, recently announced an increase in coverage limits and the addition of mining operations to its coverage portfolio.

The insurer’s per-policy coverage limits for custodial crypto assets will increase to $420 million, “nearly tripling the amount of risk transfer previously available for blockchain-focused projects,” according to an announcement.

It also adds coverage for mining operations in the amount of up to $200 million per policy. According to Evertas, these are the highest coverage limits available.

Related: Turns out it is quite difficult to insure crypto users and platforms

The policy expansions come just six months after the company raised $14 million in a Series A funding round led by Polychain Capital. This reportedly brings the company’s total outside funding to $19.8 million, taking into account initial seed funding of $5.8 million.

Evertas, a Chicago-based company, is one of the few underwriters focusing on cryptocurrency and digital assets and, reportedly, the only official coverholder status of Lloyd’s of London.

While most cryptocurrency exchanges cover losses to some degree, there are plenty of situations where an account holder can lose access to their assets that cannot be tracked through account or on-chain activity.

According to an article on Investopedia:

“Exchanges such as Binance and Coinbase claim to insure the digital funds of investors who are victims of theft. But that is of no use if you are forced to give up your passwords and login details in an extortion scheme.”

The same article notes that many insurers do not offer comprehensive coverage, forcing customers to mix and match policies.

According to Evertas, their new policy limits are intended to mitigate this consumer pain point. The company’s announcement says its policy now offers greater scalability and speed, making it “now possible to get full, high-limit subscription from a single source.”

The cryptocurrency insurance space is relatively new compared to more traditional sectors such as home and life insurance. According to experts, less than one percent of all cryptocurrency assets are insured through traditionally underwritten policies. This represents a significant amount of exposure, especially when you consider that the global cryptocurrency market is expected to grow significantly by 2030.