diff --git a/contracts/assetsup/src/insurance.rs b/contracts/assetsup/src/insurance.rs
new file mode 100644
index 0000000..8c305b3
--- /dev/null
+++ b/contracts/assetsup/src/insurance.rs
@@ -0,0 +1,191 @@
+#![allow(clippy::too_many_arguments)]
+
+use soroban_sdk::{
+    contracttype, Address, BytesN, Env, String, Vec, Map, Symbol, log
+};
+use crate::{Error, handle_error};
+
+#[contracttype]
+#[derive(Clone, Debug, Eq, PartialEq)]
+pub enum PolicyStatus {
+    Active,
+    Expired,
+    Cancelled,
+    Suspended,
+}
+
+#[contracttype]
+#[derive(Clone, Debug, Eq, PartialEq)]
+pub enum ClaimStatus {
+    Submitted,
+    UnderReview,
+    Approved,
+    Rejected,
+    Paid,
+    Disputed,
+}
+
+#[contracttype]
+#[derive(Clone, Debug, Eq, PartialEq)]
+pub enum PolicyType {
+    Comprehensive,
+    Theft,
+    Damage,
+    Liability,
+    BusinessInterruption,
+}
+
+#[contracttype]
+#[derive(Clone, Debug, Eq, PartialEq)]
+pub enum ClaimType {
+    Theft,
+    Damage,
+    Loss,
+    Liability,
+    Other,
+}
+
+#[contracttype]
+#[derive(Clone, Debug)]
+pub struct InsurancePolicy {
+    pub policy_id: BytesN<32>,
+    pub holder: Address,
+    pub insurer: Address,
+    pub asset_id: BytesN<32>,
+    pub coverage_amount: i128,
+    pub deductible: i128,
+    pub premium: i128,
+    pub start_date: u64,
+    pub end_date: u64,
+    pub status: PolicyStatus,
+    pub auto_renew: bool,
+    pub last_payment: u64,
+}
+
+#[contracttype]
+#[derive(Clone, Debug)]
+pub struct InsuranceClaim {
+    pub claim_id: BytesN<32>,
+    pub policy_id: BytesN<32>,
+    pub asset_id: BytesN<32>,
+    pub claimant: Address,
+    pub amount: i128,
+    pub status: ClaimStatus,
+    pub filed_at: u64,
+    pub approved_amount: i128,
+}
+
+#[contracttype]
+#[derive(Clone)]
+pub enum DataKey {
+    Policy(BytesN<32>),
+    Claim(BytesN<32>),
+    AssetPolicies(BytesN<32>),
+}
+
+pub fn create_policy(
+    env: Env,
+    policy: InsurancePolicy,
+) -> Result<(), Error> {
+    policy.insurer.require_auth();
+
+    if policy.coverage_amount <= 0 || policy.deductible >= policy.coverage_amount {
+        return Err(Error::InvalidPayment);
+    }
+
+    let key = DataKey::Policy(policy.policy_id.clone());
+    let store = env.storage().persistent();
+
+    if store.has(&key) {
+        return Err(Error::AssetAlreadyExists);
+    }
+
+    store.set(&key, &policy);
+
+    let mut list: Vec<BytesN<32>> = store
+        .get(&DataKey::AssetPolicies(policy.asset_id.clone()))
+        .unwrap_or_else(|| Vec::new(&env));
+
+    list.push_back(policy.policy_id.clone());
+    store.set(&DataKey::AssetPolicies(policy.asset_id.clone()), &list);
+
+    log!(&env, "PolicyCreated: {:?}", policy.policy_id);
+    Ok(())
+}
+
+pub fn file_claim(
+    env: Env,
+    claim: InsuranceClaim,
+) -> Result<(), Error> {
+    claim.claimant.require_auth();
+
+    let store = env.storage().persistent();
+    let policy_key = DataKey::Policy(claim.policy_id.clone());
+
+    let policy: InsurancePolicy = store
+        .get(&policy_key)
+        .ok_or(Error::AssetNotFound)?;
+
+    if policy.status != PolicyStatus::Active {
+        return Err(Error::Unauthorized);
+    }
+
+    let key = DataKey::Claim(claim.claim_id.clone());
+    if store.has(&key) {
+        return Err(Error::AssetAlreadyExists);
+    }
+
+    store.set(&key, &claim);
+
+    log!(&env, "ClaimFiled: {:?}", claim.claim_id);
+    Ok(())
+}
+
+pub fn approve_claim(
+    env: Env,
+    claim_id: BytesN<32>,
+    approver: Address,
+) -> Result<(), Error> {
+    approver.require_auth();
+
+    let store = env.storage().persistent();
+    let key = DataKey::Claim(claim_id.clone());
+
+    let mut claim: InsuranceClaim = store.get(&key).ok_or(Error::AssetNotFound)?;
+
+    claim.status = ClaimStatus::Approved;
+    claim.approved_amount = claim.amount;
+
+    store.set(&key, &claim);
+
+    log!(&env, "ClaimApproved: {:?}", claim_id);
+    Ok(())
+}
+
+pub fn pay_claim(
+    env: Env,
+    claim_id: BytesN<32>,
+) -> Result<(), Error> {
+    let store = env.storage().persistent();
+    let key = DataKey::Claim(claim_id.clone());
+
+    let mut claim: InsuranceClaim = store.get(&key).ok_or(Error::AssetNotFound)?;
+
+    if claim.status != ClaimStatus::Approved {
+        return Err(Error::Unauthorized);
+    }
+
+    claim.status = ClaimStatus::Paid;
+    store.set(&key, &claim);
+
+    log!(&env, "ClaimPaid: {:?}", claim_id);
+    Ok(())
+}
+
+pub fn get_policy(env: Env, policy_id: BytesN<32>) -> Option<InsurancePolicy> {
+    env.storage().persistent().get(&DataKey::Policy(policy_id))
+}
+
+pub fn get_claim(env: Env, claim_id: BytesN<32>) -> Option<InsuranceClaim> {
+    env.storage().persistent().get(&DataKey::Claim(claim_id))
+}
diff --git a/contracts/assetsup/src/lib.rs b/contracts/assetsup/src/lib.rs
index a4a1881..58c9440 100644
--- a/contracts/assetsup/src/lib.rs
+++ b/contracts/assetsup/src/lib.rs
@@ -8,6 +8,8 @@ pub(crate) mod audit;
 pub(crate) mod branch;
 pub(crate) mod error;
 pub(crate) mod types;
+pub(crate) mod insurance;
+
 
 pub use types::*;