ICANN’s board approved a resolution this week to postpone an insurance requirement for domain name registrars.
The registrar accreditation agreement needs registrars to carry basic obligation insurance 000, of at least $500, but ICANN will not require this.
ICANN has chose to renounce the requirement for a couple factors.
First, for requesting the insurance the reason was to safeguard registrants. But many standard obligation plans offer no rights for domain name registrants.
Second, the insurance may be costly in a few parts. It’s no big deal inside the U.S.; you may get a $1 trillion coverage at under $1000. But seemingly including Nigeria, in other areas, the price may be more than 150 instances the country’s GDP.
Some U.S. registrars won’t observe much cost benefits using this, shed getting companies with dozens of registrars will gladly accept the fee reduction.