Insurance

Phishing–Skimming (Fraud)

Protect yourself against potential fraud risks related to your bank card by benefiting from the Phishing–Skimming service.

Up to 1,000 AZN

Insurance Amount

10%, but minimum 50 AZN

Deductible Amount

Worldwide

Coverage Territory

Up to 1,000 AZN

Insurance Amount

10%, but minimum 50 AZN

Deductible Amount

Worldwide

Coverage Territory

Terms

Skimming refers to the act of criminals using an illegal card reader (skimmer) to capture the data stored on the magnetic stripe of a card inserted into a payment terminal, and subsequently withdrawing funds or making payments without authorization.

Insurance Amount:

If the Birbank installment card limit is up to 5,000 AZN, the insurance amount per incident is 500 AZN. If the Birbank installment card limit is between 10,000 and 15,000 AZN, the insurance amount per incident is 1,000 AZN (maximum).

Main Covered Risks: Phishing attacks, losses resulting from skimming, as well as smishing and vishing incidents.

Deductible Amount: 10%, but a minimum of 50 AZN

Coverage Territory: Worldwide

Insurance Premium: 0.35% of the initial credit card limit (annual, for a 3-year period)

Phishing refers to the theft of cardholders’ personal information by directing them to fraudulent websites or other resources through various methods such as email or SMS. Skimming refers to criminals using an illegal card reader (skimmer) to capture the information stored on the magnetic stripe of a card inserted into a payment terminal and subsequently withdrawing funds or making payments without authorization. The Phishing–Skimming service offered by Birbank provides coverage for risks related to financial losses resulting from phishing attacks and skimming incidents. The validity period of this service, available to Birbank installment cardholders (BirKart Red, BirKart Black, BirKart Umico, BirKart Miles), begins when the card is used and remains effective until the credit line agreement expires. The insurance amount for each incident is set at up to 1,000 AZN. The insurance payment may be provided for a maximum of two incidents per card. To ensure a secure online shopping environment, the Bank connects its payment cards to the “3D Secure” service. If this service is deactivated at the customer’s request, any financial loss incurred by the cardholder due to fraudulent online transactions will not be covered by the bank. Financial losses resulting from the physical theft or loss of the payment card are also not covered. Regardless of whether the customer uses the Birbank card’s credit limit or personal funds in cash or non-cash form, the insurance premium is charged accordingly.

FAQ

What is the main purpose of Phishing–Skimming insurance and which risks does it help prevent?

The primary purpose of Phishing–Skimming insurance is to provide financial protection for cardholders against risks such as online fraud, theft of account information, card cloning, and unauthorized transactions. This insurance is designed to prevent potential financial losses resulting from transactions carried out using data obtained through phishing, as well as from the capture of card information through skimming at ATMs or POS terminals, thereby offering users an additional layer of security.

Is this insurance valid only for bank cards, or does it also cover manipulations occurring in online banking accounts?

Phishing–Skimming insurance is primarily designed to cover losses arising from the theft of card-related information and unauthorized transactions made using bank cards. However, since phishing attacks may also lead to unauthorized access to online banking credentials, such manipulations may be covered if they result in unauthorized transactions from the card account. The exact scope of coverage is specified in the insurance terms and conditions.

What steps should a customer follow in the event of an insurance claim?

In the event of an insurance claim, the customer must first immediately block their card or account, and then contact the bank’s customer service to officially report any unauthorized transactions. Afterward, the customer should obtain a confirmation document from the bank regarding the incident and submit the required documentation to the insurance company. When these steps are followed in the correct order, the assessment and compensation process is completed more efficiently.

Does Phishing–Skimming insurance cover damages resulting from the cardholder’s careless behavior, such as disclosing their PIN to a third party?

No. Phishing–Skimming insurance generally does not cover losses arising from the cardholder’s overt negligence or intentional violation of security rules. For example, disclosing a PIN code to another person, storing the card in an unsafe environment, or deliberately accessing suspicious links are considered the user’s responsibility and are not covered by the insurance payment. This insurance applies only to fraud incidents that occur outside the user’s will and control.

Is a skimming incident covered only when it occurs at ATMs, or does copying at POS terminals also fall under the insurance coverage?

Skimming incidents may occur not only at ATMs but also when card data is secretly copied at POS terminals, and such cases are generally included in the insurance coverage. The key criterion is the unauthorized capture of card information through technical means without the cardholder’s knowledge, followed by the use of that data in unauthorized transactions. Therefore, skimming incidents occurring via both ATMs and POS terminals may be evaluated within the scope of the insurance.

How does the annual or monthly payment mechanism work, and is the fee automatically charged from the card?

The payment mechanism for Phishing–Skimming insurance is typically applied on a monthly or annual basis, depending on the selected package, and the fee is automatically charged from the customer’s card with their consent. When activating the insurance through customer service or the mobile application, the customer provides consent for automatic payments, after which the charges are processed by the system according to the defined billing cycle. This ensures uninterrupted validity of the insurance coverage.

Is there a maximum compensation limit for the insurance, and does this limit vary depending on the selected package?

Yes. Phishing–Skimming insurance includes a maximum compensation limit, and this amount varies depending on the selected insurance package. Each package is offered with its own coverage limit, and compensation is paid within that limit. Customers seeking broader protection may choose a higher-limit package to obtain more extensive insurance coverage.

If the customer replaces their card or receives a new one while the insurance is active, does the coverage continue automatically?

Yes. If the customer changes their card or receives a new one while the insurance is active, the coverage generally continues automatically, as the insurance contract is linked to the customer’s account and insurance package rather than the card number itself. However, since the card details are updated, it is advisable for the customer to inform the bank or the insurer about the change. This helps prevent system inconsistencies and ensures uninterrupted coverage.

Do phishing incidents require proof, and how long can the investigation process take?

Yes. Phishing incidents require a formal investigation by the insurer, during which evidence is collected to determine how the unauthorized transactions occurred without the customer’s involvement. After the bank confirms the unauthorized transactions, the insurance company evaluates the case. The investigation period typically ranges from several business days to a few weeks, depending on the complexity of the claim.

Does the insurance cover both domestic and international transactions?

Yes. Phishing–Skimming insurance generally provides protection against unauthorized transactions both domestically and internationally. Even if card data is copied abroad or a fraudulent transaction is carried out in another country, coverage remains valid as long as the incident meets the insurance conditions. This offers additional security for customers who travel frequently and use their cards across different countries.