Mainnet Launch: Stage 3, Purchasing Policies now live!

NSURE NETWORK concludes its successful migration to Mainnet, launching the 3rd and last stage. Users are now able to purchase policies for the available products on the Marketplace, while enjoying added incentives via policy-mining.

Dear Nsureans, it’s been a long journey since we first launched our Alpha on Kovan, and today one of the most awaited milestones in development is becoming a reality: From now, April 12th 9:00 AM UTC onwards, users can officially purchase insurance coverage in the Nsure Marketplace!
To purchase insurance, you can access the marketplace via https://app.nsure.network/#/cover/my

Example: Compound Insurance product including Capacity, Cost estimation & risk rating, linked with access to obtain quote for purchase.

Overview

Users that purchase polices are eligible for sharing additional rewards issued in $NSURE, at a rate of 0.2NSURE/Block.

In the event of an exploit, policyholders have the right to submit a claim that will trigger a claim resolution process managed by assessors in order to trigger a payout.

Below is a detailed dive-in on all you need to know in regards to purchasing a policy, including a full manual on how to navigate through the app.

Policy Structure:

Policies are based on a proof of loss principle, under which coverage will supported on a case-by-case basis, based on the outcome of an exploit resulting in a realised loss for users that hold an active policy. Proof shall be submitted via claim processing, under which assessors determine veracity of the event and loss, triggering payouts.

We strongly suggest users to read up on our published policy wording to dive into the guidelines that mark the scope of coverage in possible situations. These are published under our Documentation here: https://docs.nsure.network/nsure-network/docs/nsure-smart-contract-protect-policy-wording

Policy Pricing:

Dynamic Pricing Formula

This results into price behaviour to be dictated by both, the demand for insurance policies sold (active) vs the supply given by Underwriters to back up these risks.

Lets look at the supply & demand curves closer:

Supply is given by Underwriters, by staking Nsure tokens into products. These lower the price of an insurance product marginally as the amount of staked tokens increase.

On the other hand side, price is set to increase with every additional policy to be active within the system:

Demand is determined by purchasers that are acquiring policies.Assuming no variance on the supply side is given by Underwriters, the premium rate is set to increase as displayed above.

Overall, the higher the amount of Nsure tokens staked into a product to back its risk, the less volatile a product would become towards changes in demand.

The Risk parameter takes care of the riskiness embedded in each project. It is based on the rating we given for each project. In the pricing of traditional insurance, similar factoring exists called underwriting tier, which is applied to the base premium rate. Without the Risk Adjustment Factor, premiums of 2 projects would be identical if their capital demand and supply are the same, which is unsatisfactory since the difference of riskiness in the 2 De-Fi may not be equal. By multiplying the risk factor, we are basically evaluating the risk by capping the premium rate.

In order to dive deeper into the Dynamic Pricing Model, we suggest to read up on the published documentation here:
https://docs.nsure.network/nsure-network/docs/dynamic-pricing-model

Claim Process

The policyholder is responsible to provide adequate and substantial evidences that he did suffer a genuine loss on the designated project within the period of insurance. The proof of loss must include following 2 component:

  • Prove ownership of affected address

After identifying his affected account, the policyholder may prove his ownership over the account via signature or making a 0 amount payment to a specified address.

  • Evidence of loss in the exploit

The more evidence provided by policyholder over the loss, the higher chance such claim will be accepted by claim assessors, especially the below materials closely relevant to the loss

Here’s an overview of the claim resolution process to be followed:

Model for claim processing, resolution and public-vote challenge (if needed)

Every claim resolution based from Assessors’ decision will be given a period under which the public can vote to challenge the result, in case of differed opinions on the decision. This acts as a public verification filter which will allow for any erroneous or malicious activity to be prevented and mitigated, ensuring proper functionality of claim payouts.

For further info on claim processing, please read on our published documentation:
https://docs.nsure.network/nsure-network/docs/claim-process

The portal for assessor- and claim processing can be found under:
https://claim.nsure.network/

User Guide

Note: Security Rating is an indicator of the smart contract risk level for each protocol. By influencing the risk factor used in the pricing, Security Rating impacts the cost for policies of each protocol.

Type in desired time period and amount to be covered to obtain your quote

Step 2: Input your desired policy duration and coverage amount. The price estimate will show up for your reference. You can also check the graphic at the top which displays at all points in time what the historical daily average price for the last 180 days / since inception of the product.

After clicking Get Quote and approve the contract, you complete the purchase.

Type in desired time period and amount to be covered to obtain your quote

Step 3: Check your policy status in Purchase section -> My Policy page. You can monitor all your active/expired policy together with the policy claims and mining status.

under Purchase section, click My Policies and go to the policy dashboard

For Policy mining, you can claim rewards under following dashboard:

Policy buyers are participating in mining as well, when purchasing coverage. A dedicated portion of the NSURE rewards, specifically 0.2NSURE/Block will be distributed among active policy holders. This can be found under the section of “Policy Mining”:

We sincerely hope you enjoy the latest feature release and are thrilled to be bringing you this milestone for usage to participants in the Nsure Network marketplace!

About Nsure Network
Nsure is an open insurance platform for Open Finance (DeFi). The project is inspired by Lloyd’s of London, a market place to trade insurance risks, where premiums are determined by a dynamic pricing model. Capital mining is implemented to secure the capital required to back the risks at any point of time. To learn more about Nsure Network go to Nsure.Network or follow us on Twitter or Telegram.

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For private inquiries or collaborations, please DM any of our admins or contact contact@nsure.network

Open Insurance Platform for Open Finance

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