What Is Insurance Reimbursement?
Insurance reimbursement is the money paid to account holders to cover the losses with a non-regulated (!) investment company. These funds are automatically charged from the trading volume of every investment operation made by a broker or an investor and reserved on a special insurance (hedge) account.

Most non-regulated companies will pay only a portion of the investors’ costs, based on investment disclaimers and risk warnings. However, several factors determine what brokers pay as the insured — the status of a company, the legitimacy of investment operations, the insurance plan you have by default, and what you’ve already paid throughout the process while the money is reimbursed.

How Does Insurance Reimbursement Work?
Once an investor has announced some losses with a non-regulated company, no matter if the reason is unqualified assistance or termination of the company’s activities, then the government organization responsible for processing financial transactions based on the place of registration (not regulation!) of the company, will review the status of hedge account and bill this broker. The company can then either reimburse you as the insured party or pay the related authorities directly. The authorities will do their own negotiating with the broker for payer reimbursement rates. Some companies may not agree to cover all losses of investors and insist on a certain minimum.

Keep in mind here that “coverage” doesn’t necessarily mean the company will make the full reimbursement – it all depends on the type and status of the insurance account, trading volume and leverage as a financial source, etc. Mostly, your insurance may cover a larger portion of the expense, but you as the insured are still obligated to cover the related rates (exchange) cost or payment service fees, which should be paid to the third parties due to the reclaiming process. We have no paid services related to the reimbursement process for individuals.