Standard homeowners insurance rarely covers self-custody Bitcoin adequately. Here's what specialist insurers like AnchorWatch and Coincover actually cover for cold storage.
You've done everything right: hardware wallet, steel seed backup, passphrase. Your Bitcoin is in cold storage. But is it insured? Standard homeowners and renters insurance policies have murky, often zero coverage for self-custody Bitcoin. Here's what you need to know about insuring your cold storage stack in 2026.
Bitcoin in cold storage faces a coverage gap that doesn't exist for traditional assets:
Traditional assets: Stocks and bonds are held by brokerages covered by SIPC (up to $500,000). Cash in banks is covered by FDIC (up to $250,000). Gold in a bank vault is typically covered by the bank's insurance policy.
Self-custody Bitcoin: No broker, no SIPC, no FDIC. Whatever insurance you have comes from your personal policies — which typically weren't designed for digital assets.
Exchange-held Bitcoin: Some exchanges carry insurance (Coinbase carries up to $255M in commercial crime insurance), but it covers the exchange's hot wallet, not necessarily your specific funds.
Standard policies cover "personal property" against named perils (fire, theft, vandalism). Bitcoin technically qualifies as property — but two problems arise:
Proof of loss: How do you prove your Bitcoin was stolen? You need documentation of your holdings, and insurance companies may dispute Bitcoin valuations.
Sublimits for "money and securities": Many policies cap coverage for cash and securities at $200-500. Bitcoin may be classified under these sublimits, severely limiting your coverage.
Policy exclusions: Some policies explicitly exclude cryptocurrency or digital assets.
The verdict: Don't assume your homeowners policy covers your Bitcoin stack meaningfully. Call your insurer and ask directly.
Several insurers now offer Bitcoin-specific coverage:
AnchorWatch provides insurance specifically designed for self-custody Bitcoin. Their model is unique: they require their insured clients to use specific multisig custody setups (which they've vetted for security), then provide coverage on those arrangements.
Coverage: Up to $100M for qualifying self-custody setups Requirement: Must use AnchorWatch-approved multisig custody structure Best for: Large holders who want genuine cold storage insurance with proper security requirements
Coincover offers protection for Bitcoin on exchanges and in hot wallets, with some cold storage options. Their coverage is through Lloyd's of London underwriters.
Coverage: Varies by plan Best for: Holders who want basic Bitcoin protection, may include cold storage component
Evertas focuses on institutional Bitcoin custody insurance. They work with custodians and large holders to underwrite digital asset risk.
Coverage: Institutional-scale policies Best for: Funds, family offices, and large individual holders
Lloyd's is the ultimate backstop for unusual insurance risks. Several Lloyd's syndicates now underwrite Bitcoin custody policies, typically arranged through specialist brokers.
Best for: Large holdings ($1M+) where bespoke coverage is warranted
When coverage exists, it typically covers:
What it typically does NOT cover:
Step 1: Document your holdings. Maintain records of Bitcoin amounts (not addresses or keys), acquisition dates, and cost basis. Transaction records from your exchange purchase history serve this purpose.
Step 2: Check your homeowners/renters policy. Ask your insurer: "What coverage do I have for digital assets or cryptocurrency?" Get the answer in writing. If coverage is inadequate, consider a rider or specialist insurer.
Step 3: Evaluate specialist coverage. For holdings above $25,000-50,000, the cost of specialist insurance is usually worthwhile. Contact AnchorWatch or a Lloyd's broker.
Step 4: Consider coverage requirements. AnchorWatch and most specialist insurers have security requirements — specific custody setups they'll cover. Adopting these requirements has the dual benefit of getting coverage and improving your actual security.
Step 5: Store proof of holdings separately from the Bitcoin. Exchange records, hardware wallet purchase receipts, and custody setup documentation — stored in a different location from your actual cold storage — provide evidence for claims.
Here's the tension: the strongest cold storage security (air-gapped hardware wallets, distributed seed backups, passphrases) is also the setup most resistant to insurance claims. If your setup is so private that you can't prove what you held, proving a loss is difficult.
The solution is documentation: records of your holdings maintained through exchange records, wallet transaction history, and any custody documentation — all separate from the private keys themselves.
Possibly, but probably not adequately. Most standard policies have low sublimits for "money and securities" ($200-500) and may exclude cryptocurrency. Call your insurer and ask directly.
AnchorWatch for self-custody, Evertas for institutional custody. For very large holdings ($1M+), Lloyd's of London syndicates via specialist brokers provide bespoke coverage.
Yes — insurers need to know coverage amounts. You don't need to reveal private keys or addresses, but you need to document that you held a certain amount of Bitcoin. Exchange records and blockchain transaction history can establish this.
Exchange purchase records, wallet transaction history, hardware wallet purchase receipts, and any custody documentation. The more documentation you have separate from the Bitcoin itself, the better positioned you are for a claim.
Compare all insurance options in our Bitcoin Insurance Directory. See also: AnchorWatch vs Coincover and Bitcoin Insurance Options Guide.
Get our free Beginners Guide to Buying Bitcoin plus weekly insights for long-term holders.
Exchange insurance limits are aggregate policies that cover only a fraction of customer losses — and they exclude insolvency. This guide breaks down exactly what is covered at Coinbase, Gemini, and other major exchanges.
A guide to Bitcoin insurance for high net worth holders with $500K+ in BTC — specialized providers, coverage costs, what is and is not insurable, and how to build a complete coverage strategy.
How to protect your Bitcoin from house fires, floods, and natural disasters. Steel seed backups, geographic distribution, safe deposit boxes, and disaster-proof setup guides.