> For the complete documentation index, see [llms.txt](https://docs-v2.elyfi.world/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs-v2.elyfi.world/risk-management/insurance-pool.md).

# Insurance Pool

ELYFI Protocol has an insurance fund in place to protect liquidity providers in case of borrower default or platform failure. The insurance fund is funded by a portion of the fees generated by the platform and is regularly reviewed and adjusted to ensure its adequacy in covering potential losses.