https://www.businesswire.com/news/home/20181003005283/en/This is an area I've always been really intrigued by. As we all know the first job of an insurer is not to pay out and as far as I know no one who claimed to have their crypto insured ever managed to make a successful claim.
The prime example I can think of it when a Bitpay employee clicked on the wrong email and gave away a million dollars' worth. When they tried to claim off their insurance they were rightly laughed at.
Not just an employee but the CEO, Stephen Pair. Talk about embarrassing.
So how do you think a policy like this would arranged? I would presume insurers know very little about the ins and outs of crypto and how it's secured. Would Gemini have walked them through the whole process or would the insurers not really give a shit and issue a policy expecting to wriggle out of it?
I can't imagine it would be undersigned without rigorous due diligence. Aon is ranked as the #2 largest insurance broker in the world. They didn't get there by piling loads of money into litigation to wriggle out of claims. They must view the policy as profitable.
Some day there'll be a giant insurance claim and we'll find out whether any of this stuff is worth a dime. My suspicion is that it ain't.
I'm sure it'll make for an interesting high-stakes court case. I imagine Gemini has competent legal counsel. It may not be a slam dunk for the insurance consortium when push comes to shove.
