Comment by yieldcrv

crypto insurance products have been very successful in the DeFi space for more than half a decade, a protocol you are using gets hacked and instead of whaling about it on hackernews the insurance policy you opened pays out immediately

there is a lot of examples on how to design it, and it doesn't really seem like this Iranian one for shipping is designed well if its just an insurance pool in bitcoin at all times

but if they are using the bitcoin blockchain to sign the insurance records of a policy and claim, and then the state administrator is acquiring bitcoin to pay out policies at time of claim, then that could work. that was one of the bullish cases theorized for bitcoin back in 2011, 2012, its a long list