Staked arNFTs (including those in a 7 day waiting period after unstake has been requested) do not provide coverage to the user who staked them. Staked arNFT coverage is assigned to the Armor protocol. If a successful claim is made, the staked arNFT will be burned. Excess funds are returned to Nexus Mutual coverage pools. The user will continue to earn staking rewards for the duration the arNFT would have been valid.