How do AnchorWatch insurance claims work?

At AnchorWatch, we protect long-term Bitcoin owners with reliable, predictable insurance coverage backed by Lloyd’s of London. But as with any insurance, the real test of value is what happens when you need to use it. What happens when the unthinkable happens and you need to file a claim? Filing an insurance claim can feel daunting and it’s something no one looks forward to, especially when the insured asset is as scarce as bitcoin. Our goal is to make the process as clear and straightforward as possible so you know exactly what to expect if something goes wrong.

Whether your Bitcoin is lost, stolen, or impacted by another covered peril, the Lloyd’s of London claims process is designed to fairly assess the claim and if approved, quickly settle the claim. The assessment of the claim can include a robust investigation, but AnchorWatch and Lloyd’s representatives will be in close contact with you every step of the way. Here’s what happens if you ever need to file a claim with AnchorWatch:

1. Notify AnchorWatch immediately

The first step is to contact AnchorWatch as soon as you become aware of the loss. You can file a claim via the form in your Trident Dashboard or on our website, and an AnchorWatch claims agent will get in touch quickly. You’ll be asked to provide a detailed account of the incident and any supporting documentation. The claims process is there to ensure that you are treated fairly and our team will work closely with you throughout the investigation to make sure all your questions are answered and that the process is moving forward..

2. Claims review and investigation

Once your claim is filed, AnchorWatch reviews the details of the loss with Lloyd’s of London. This step is similar to a traditional property insurance claim. It’s designed to verify that the claim meets the policy’s conditions while protecting both you and the integrity of the coverage. If additional information is needed, we stay in direct contact with you to keep the process moving and avoid surprises. 

The claim investigation might include providing transaction records, testimony to law enforcement and claims professionals, filing reports with law enforcement, physical examination of evidence, and interviews with law enforcement and claims professionals.

We recognize that a claim often occurs as a result of a traumatic event. The AnchorWatch team will be your first point of contact, answer questions, and keep you informed of progress. Claims are part of the insurance business, and when you’re faced with one, AnchorWatch will help you through it. 

3. Claim value determined at time of loss

Like many property insurance policies, AnchorWatch claims are valued at the fair market value of the insured item at the time of loss, minus a deductible. 

AnchorWatch policies are designed with Bitcoin’s price swings in mind, seen in the treatment of deductibles. Customers choose between a 10% deductible and a 25% deductible at the time of buying a policy, which is assessed against an approved claim benefit, similar to other property insurance policies. However, if the value of your Bitcoin has dropped below the deductible value, we waive the deductible. This means you’ll receive the full market value of your Bitcoin at the time of the claim, up to your policy limit, without being penalized for a sharp price drop. For example, if you hold a $1 million policy with a 10% deductible, after a loss when bitcoin is worth $1 million or more, the claimant would receive a $900,000 insurance payout. But if the value of the bitcoin was worth only $800,000 at the time of a loss, then the deductible would be waived and the payout would be the full $800,000 value of the bitcoin. The claimant could then make themselves whole or nearly whole by taking their insurance payout to the exchange and buying replacement bitcoin.

AnchorWatch’s treatment of deductibles provides customers extra peace of mind in considering a volatile asset like bitcoin.

5. Claims payouts sent by Lloyd’s of London

Once the claim is approved, Lloyd’s of London immediately issues the payout in US dollars to the claimant. From there, it’s your choice how to handle the funds - you can convert the cash payout into Bitcoin at an exchange, hold the dollars, or use the funds for another use of your choosing. In the United States, insurance payouts are not considered taxable income. What matters most is that your loss was covered and your financial position was protected.

Our claims process is designed to be predictable and fair especially for serious Bitcoin holders managing assets that can experience sharp swings in value. Dollar-denominated coverage gives you clear premiums with predictable dollar expenses, known coverage limits, and clear handling when it comes to claims.

If bitcoin is part of your long-term financial future, AnchorWatch is here to help protect it so you can focus on building the future you believe in. Bitcoin is built to last and your insurance should be too.

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