# Withdrawing coverage

## **When can I withdraw my funds from the Coverage pool?**

To ensure there is enough liquidity in a pool to pay all outstanding policies, Coverage Providers are forced to wait 4 days before they may withdraw their USDT after they make a withdrawal request.&#x20;

* The Coverage Providers can only withdraw up to the amount that pushes the utilization ratio of the Project X Coverage Pool to 100%.
* The withdrawal from any pool is **only** possible when no active Claims against it exist.
* The above includes the withdrawals from the Leveraged Portfolio if it invests in any pools that have active Claims.
* No Policies can be sold on funds that are pending withdrawal.

After 4 days, the Coverage Provider has 2 days to withdraw their funds. If they fail to do so, they must submit a second withdrawal request and wait an additional 4 days.\
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An example:\
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Coverage Pool A has 20.000 USDT in coverage liquidity. A user decides to provide liquidity and bear the risk in exchange for profits and puts in 80.000 USDT to coverage pool A. There is currently 100.000 USDT in Coverage Pool A. \
User B decides to purchase coverage for his 60.000 USDT worth of assets for a duration of 1 year. The utilization ratio is now at 60%.&#x20;

After one month, user A decided they would like to withdraw all of his initial 80.000 USDT liquidity. At this stage, the user can't do it, as one can only withdraw up to the amount that pushes the utilization ratio to 100% and no more than that. In this case, the amount available is 40.000 USDT.&#x20;

## **How does the coverage withdrawal process look in detail?**&#x20;

The process can generally be described in 2 steps:

{% hint style="info" %}
The BMIxCover tokens have to be unstaked before initiating the withdrawal process
{% endhint %}

1. The request of the withdrawal. This process begins the 4-day waiting period, in which the requested amount decreases the pool's Capacity to ensure that no Policies are sold on the requested funds. The UR, however, does not change (if it would, coverage providers could easily manipulate the BMIxCover tokens price and game the system).
2. The withdrawal itself. Once the user has waited 4 days, **they can withdraw their requested amount within 2 days.**

All the withdrawal procedures can be handled in the [_"Dashboard -> My Liquidity"_ ](https://app.bridgemutual.io/user/dashboard)section of the app.

