# Insurance Fund Our Insurance Fund is a reserve of funds set aside to cover unexpected losses or events within the ZeroLend ecosystem. A percentage of fees generated by the platform is allocated to this fund, ensuring it grows over time. The primary purpose of the Insurance Fund is to safeguard user assets and provide compensation in the event of unforeseen circumstances. In traditional finance, banks often insure their customers' deposits. This insurance acts as a safety net, ensuring that depositors' funds are protected up to a certain limit even if the bank faces financial difficulties. Similarly, at ZeroLend, we are committed to building a safety net for our users. ## ZeroLend is the only protocol with an Insurance Fund ZeroLend is the only lending protocol on zkSync that has a native insurance fund. Our insurance fund is our commitment to providing a secure and reliable platform for our users. We aim to create a financial cushion to protect user assets in unexpected events by setting aside some fees to fund the insurance fund. ## How the Insurance Fund Works? In the event of issues like smart contract vulnerability or system failure, the insurance fund can be utilized to compensate affected users. This compensation will cover losses and secure users from financial harm. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.zerolend.xyz/security/insurance-fund.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.