Lloyd’s broker Superscript launches innovative crypto insurance product
SME-focussed Superscript, the first UK insurtech to become a Lloyd’s of London broker, has launched a dedicated product for distributed ledger technology (DLT), digital asset (crypto), and blockchain businesses.
The new insurance offering, dubbed Daylight, aims to “bridge the gap” in the market and make insurance accessible for digital asset businesses, such as tokenisation platforms, miners, custodians, blockchain development and Non-Fungible-Tokens (NFT) platforms.
Superscript claims it is the “first Lloyd’s-backed insurance product” dedicated to digital asset businesses, calling it a “very significant development” for both the insurance industry and crypto community.
The new offering will serve as protection against everything from ransomware attacks, cyber business interruption to unintentional copyright infringement and professional negligence.
Daylight will begin with technology liability and cyber insurance, and later in 2022 expand to include directors and officers (D&O), custodianship, and mining covers.
Superscript said the size of the digital asset market is “growing exponentially”, citing a report from CB Insights that showed that venture capitalists invested more than $25 billion in blockchain last year, representing a 700% year-on-year increase. Meanwhile, NFT funding soared by 12,800% to $4.8 billion.
The launch of Daylight follows Superscript’s recent selection for Lloyd’s Lab seventh innovation cohort to help develop insurance products for digital asset businesses. Superscript aims to become a global leader in SME insurance and in crypto insurance.
Ben Davis (pictured left), Superscript’s digital assets team leader, said: “Daylight is setting a new standard for crypto, digital asset and DLT insurance. It will be the gateway between the on-chain crypto community and the largely paper-based insurance market.
“We’ve built a team of dedicated expert brokers who are genuinely passionate, engaged, and determined to help the crypto community thrive by managing its risks. Our expertise will be supported by machine-learning and data-generated underwriting insights, enabling us to build specific insurance products which address the needs of the crypto community. All while simultaneously addressing the capacity crisis among insurers. This is a huge step towards truly legitimising the DLT community within the insurance industry.”
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