NOVAFINTECH

NOVAFINTECH delivers an integrated blend of third‑party, regulatory, and first‑party protection, tailored to the fintech ecosystem.

Third‑Party Coverage

• Financial technologies product liability.
• Network security liability.
• Privacy liability.
• Artificial intelligence liability.
• Loss mitigation costs.
• Emergency claims costs.
• Public relations costs.

Regulatory Coverage

• Inquiry costs.
• Regulatory investigations involving financial authorities.

First‑Party Coverage

• Incident response costs.
• Business interruption and extra expense.
• Data restoration costs.
• Bricking.
• Cyber extortion and crime.

NOVAFINTECH is designed for fintechs providing technology products or services to financial institutions, including:

• Digital banking platforms offering white‑label consumer or SME banking experiences.
• Payment technology providers, such as gateways, acquirers, issuers, POS solutions, digital wallets, and real‑time payments infrastructure.
• Fraud prevention and identity verification platforms, including transaction monitoring, behavioral biometrics, and document verification.
• Risk management, compliance, and RegTech providers, supporting AML, trade surveillance, regulatory reporting, and risk analytics.
• Lending technology platforms enabling digital origination, underwriting automation, and credit lifecycle management.
• Data aggregation and open‑banking API providers, offering account connectivity, enrichment, categorization, and secure data access.

• Up to USD $5 million in policy limits for US and international domiciled and exposed risks.
• Proprietary, tailored primary policy form.
• Risks understood and underwritten by an experienced, fintech‑focused underwriting team.
• Flexible underwriting approach supporting startups through to consolidated platforms.
• Policy premiums payable in fiat or cryptocurrency.
• Rapid incident response and loss‑prevention services.

Claims Scenario: Payment Platform Outage Triggering Regulatory and Client Claims

A fintech company provides a cloud‑based payments and digital wallet infrastructure to multiple regulated financial institutions. During a system upgrade, a configuration error combined with an AI‑enabled fraud‑monitoring module causes transaction delays and false declines across several partner banks.

End‑customers are unable to access funds or complete payments, prompting complaints to client banks and triggering regulatory scrutiny. Financial institutions allege contractual breach and technology failure, while regulators request information relating to operational resilience, third‑party oversight, and incident governance.

The fintech incurs costs associated with:

• Client claims alleging service failure.
• Regulatory inquiries and investigations.
• Incident response, forensics, and remediation.
• Public‑relations support to manage reputational impact.

NOVAFINTECH responds to cover defense costs, regulatory inquiry expenses, liability arising from the technology failure, and incident‑response costs, enabling the insured to stabilize operations and maintain trusted client relationships.