CHICAGO, Feb. 03, 2022 (GLOBE NEWSWIRE) — Evertas announced its approval as a Lloyd’s of London coverholder. This coveted designation will permit Evertas to significantly expand access to insurance products protecting against the risk of theft and loss of custodial cryptoassets. Currently only 2-3% of global cryptoassets are thought to be insured. As a Lloyd’s coverholder, Evertas will provide insurance capacity to cryptoasset investors.
Coverholders are specialty insurance providers authorized by Lloyd’s to write and service policies covering risk in geographies or niche sectors requiring high levels of expertise. In this case, Evertas, the first coverholder at Lloyd’s to specifically cover digital wallet products, will use its unmatched knowledge of cryptoasset risk to write policies on behalf of Lloyd’s syndicate member Arch Insurance, which served as sponsor of the Evertas coverholder application.
“Our appointment as a Lloyd’s coverholder represents a vital new development for the crypto industry,” said Evertas CEO J. Gdanski. “The lack of insurance capacity plaguing this sector has hindered growth and liquidity by keeping many institutions from entering the market. The addition of the new capacity, which Evertas will offer as a Lloyd’s coverholder, will go down as an important milestone in the history of crypto.”
Hank Watkins, Regional Director and President of Lloyd’s in the Americas, said, “Our approval of Evertas’ coverholder application is an example of collaboration between Lloyd’s insurer Arch, Lloyd’s broker Marsh and their new distribution partner on an innovative solution aimed at facilitating the growth of an industry sector previously hindered by a lack of risk transfer options.”
The subject of insurance for cryptoassets has gained significant traction recently, given the increasing pace of high-profile crypto exchange hacking incidents – estimated at over $4 billion USD in 2021 alone – in addition to recent Congressional hearings in which the problem of uninsured custodial wallets was examined at length.
Gdanski added that in the interest of providing as much crypto policy capacity as possible, Evertas looks forward to establishing relationships with additional Lloyd’s syndicates and other insurance carriers.
About EvertasEvertas Inc. is a Chicago-based cryptoasset insurance company focused on covering the full spectrum of crypto risks for institutional holders of cryptoassets and blockchain technology, including exchanges, custodians, traditional financial institutions, funds, family offices, corporations, miners, and ultra-high net worth individuals. Licensed to operate as a Class 3A Insurer by the Bermuda Monetary Authority, Evertas offers the only full lifecycle cryptoasset insurance solution; a world leading underwriting framework, bespoke cryptoasset policy form and claims handling.
About Lloyd’sLloyd’s is the world’s leading marketplace for commercial, corporate and specialty risk solutions. Through the collective intelligence and expertise of the market’s underwriters and brokers, we’re sharing risk to create a braver world. The Lloyd’s market offers the resources, capability and insight to develop new and innovative products for customers in any industry, on any scale, in more than 200 territories.
We’re made up of more than 50 leading insurance companies, over 200 registered Lloyd’s brokers and a global network of over 4,000 local coverholders. Behind the Lloyd’s market is the Corporation: an independent organisation and regulator working to maintain the market’s successful reputation and operation.
We’re working to build solutions for the most current and prevalent threats. As Chair of the Insurance Task Force for HRH The Prince of Wales’s Sustainable Markets Initiative, Lloyd’s is bringing the industry together to insure the transition to net zero. Our research community is pooling expertise from across the industry to provide cutting edge insight on systemic risks from climate change to cyber security.
And through our digital-led strategy, The Future at Lloyd’s, we’re making it easier and cheaper to place, price and process cover in the Lloyd’s market.