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My equity has fully vested with my current employer. Is there some type of insurance that can be purchased to guarantee I won't lose everything in the case of force majeure or other drastic event (which I'm sure I would pay a premium for)?

An insurance firm would need to see the books in order to put a value on a private company, so it would likely be a firm that specializes in this type of insurance.

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What type of equity is it? Stock options, grants, or restricted shares? Is the company public or private? – Joel Spolsky♦ Apr 23 '11 at 0:19
@Joel In which case could you possibly buy insurance? And are there any real cases where it has been a good practice? – Genadinik May 23 '11 at 5:27

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I think you do not have that option. The company can dilute you as much as they want unless you are one of the people who can vote on the decision of whether there should be dilution or not.

As far as insurance goes, I am no expert, but there will be a big problem of valuing the shares and deciding on the insurance price since there isn't a liquid market for this.

Likely there isn't an insurance product for this.

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Thats the conclusion I came to as well. Thanks for the feedback. – bob ross Apr 23 '11 at 15:04

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