Binance has purchased directors and officers (D&O) liability insurance to cover executives facing potential regulatory investigations or lawsuits following the record $6.3 billion hack, but lacks cybersecurity insurance that would significantly offset losses, Bloomberg Law reported on Nov 3. Unlike other crypto firms, Binance was unable to secure cyber insurance coverage for the breach. Even if digital asset companies attempt claims through cyber, crime, or D&O policies, such contracts typically contain exclusion clauses that limit payouts. Insurance is expected to cover only a small fraction of the damages owed to affected users from the historic theft. Binance previously stated it funded user reimbursements using portions of its SAFU fund, contract insurance reserves, and company capital.