📑Status system

Description of insurance policy states

When the insurance contract is successfully margined, the corresponding initial status is “Valid”. Depending on the P-Market volatility during the term or at the time of expiration, the contract will have the following termination states:

Status	Description
Claimed	The system has completed the payment to the user's wallet (*)
Refunded	At the time of contract expiration, P-Close is between P-Refund and P-Claim, the system returns the margin to the user's wallet.
Liquidated	During the period, P-Market hits P-Expire, the liquidation is triggered At the time of contract expiration, P-Close is between P-Refund and P-Expire, the contract is liquidated due to expiration
Canceled	The contract completes the conditions for an early refund
Invalid	The contract was opened successfully but P-Open crossed the safe distance The user is refunded after that

Explanation of reasons for closing the insurance contract

P-Market hits P-Claim	When the asset price hits the P-Claim during the contract period
Expire Contract	When the contract expires, the asset price does not hit the P-Claim nor the P-Expire
P-Market hits P-Expire	When the asset price hits the P-Expire level during the contract period
Users cancel contract before expiration	The user cancels the contract when all conditions are met

Example: Given the fear of risk when the BTC asset price decreases (52156.9) after you have purchased a BTC derivative with a increasing price, the user chooses to receive BEAR insurance support (as shown in the figure):

The user needs to deposit 23 USDT to buy a Standard insurance plan (5-2,000 USDT) with a Bear expectation for the BTC/USDT asset pair, at a P-Open price of 52,156.9 with a validity period of 12 hours. In this case, the default P-Claim is 46,644.09, P-Expire is 60,053.9, and P-Refund is 51,856.9.

This means that within 12 hours:

• When the BTC price drops to 46,644.09, hitting P-Claim, the system will pay 48,91 USDT back to the user's wallet.

• When the BTC price is between P-Open 52,156.9 and P-Refund 51,856.9, the contract will be liquidated.

• When the BTC price is between P-Refund 51,856.9 and P-Claim: 46,644.09, the contract will be refunded.

• When the BTC price is between P-Open 52,156.9and P-Expire 60,053.9, the contract will be liquidated.