Hello. Sorry, it has been such a headache finding cover for your assets, hopefully, we can simplify this in the future.
There are two main insurance providers currently in the crypto space. We have Nexus Mutual and Cover Protocol. Cover Protocol is probably the easiest to get and use as you can just buy it with dai whereas with Nexus you have to become ‘a member’, which just means you need to KYC, not hard but some people don’t like that.
Currently, Yearn coverage on Cover has yet to have its pool redeployed after the hack, but the Cover team says it should be up by the end of the month. When it is live it is as simple as going to Cover: Yearn and buy the claim tokens.
Cover uses a system of CLAIM / NO CLAIM tokens in a balancer pool. So if you want coverage in the case of a hack/exploit on Yearn’s smart contracts (such as the one we recently suffered on yDAI v1 vault) you would buy CLAIM tokens for Yearn. It will tell you on their page what the yearly cost of the insurance is currently at, so you can decided if it is worth it for what APY you are making on the vaults. It will also tell you the timeframe for that coverage. On the other side of this if you feel that the protocol you looking at getting coverage for will not be hacked you could buy NO CLAIM tokens and take the other side of the trade. These tokens last for a few months they have an option to choose your length of time and at the end of that time period if there isn’t a hack you can take your NO CLAIM tokens and redeem them for 1$ and if there is a hack you can redeem you CLAIM tokens for 1$ each.
Looking a Nexus Mutual yearn coverage they are also out and waiting for more people to stake against yearn’s contract so you would have to check back at their site here search for Yearn and it will tell you if they have some coverage available. When the site says requires more staking this just means that their cover is sold out currently and waiting for more to come available (Yearn coverage is in high demand currently). You do NOT need to stake to get coverage with Nexus, you just need to kyc and I think they take eth or dai if they have coverage available. They will also tell you the rates for coverage on the page above (when they have some free).
Another thing to consider when buying insurance from both Nexus Mutual and Cover Protocol is that our Vaults interact with more than one protocol at a time. So If you wanted full coverage on the yDAI v1 vault you would need to get yearn coverage and curve coverage. The yearn coverage would pay out in the case of a smart contract failure on yearn side and the curve coverage would pay out in the case that the ydai vault’s funds in curve were somehow exploited. If you are unsure which Vaults interact with which protocols feel free to ask in our chats at discord or telegram and we would be glad to answer.
We are looking at the idea of pre-covered vaults but don’t have anything to release at this time, but definitely something we have been considering!