diff --git a/test/unit/Cover/createStakingPool.js b/test/unit/Cover/createStakingPool.js
index 7ff15b31b6..1e2899c508 100644
--- a/test/unit/Cover/createStakingPool.js
+++ b/test/unit/Cover/createStakingPool.js
@@ -1,46 +1,129 @@
-const { assert } = require('chai');
+const { expect } = require('chai');
 const { ethers } = require('hardhat');
 
 describe('createStakingPool', function () {
-  it('should create new pool', async function () {
-    const { cover } = this;
-
-    const [stakingPoolCreator, stakingPoolManager] = this.accounts.members;
-    const initialPoolFee = '5'; // 5%
-    const maxPoolFee = '5'; // 5%
-
-    const depositAmount = '0';
-    const trancheId = '0';
-
-    const productinitializationParams = [
+  const newPoolFixture = {
+    initialPoolFee: 5, // 5%
+    maxPoolFee: 5, // 5%
+    depositAmount: 0,
+    trancheId: 0,
+    poolId: 0,
+    productInitializationParams: [
       {
         productId: 0,
         weight: 100,
         initialPrice: '500',
         targetPrice: '500',
       },
-    ];
+    ],
+  };
+
+  it('should create and initialize a new pool minimal beacon proxy pool', async function () {
+    const { cover } = this;
 
-    const firstStakingPoolAddress = await cover.stakingPool(0);
+    const [stakingPoolCreator, stakingPoolManager] = this.accounts.members;
+
+    const { initialPoolFee, maxPoolFee, productInitializationParams, depositAmount, trancheId, poolId } =
+      newPoolFixture;
+
+    const firstStakingPoolAddress = await cover.stakingPool(poolId);
 
     await cover.connect(stakingPoolCreator).createStakingPool(
       stakingPoolManager.address,
       false, // isPrivatePool,
       initialPoolFee,
       maxPoolFee,
-      productinitializationParams,
+      productInitializationParams,
+      depositAmount,
+      trancheId,
+    );
+
+    const stakingPoolInstance = await ethers.getContractAt('CoverMockStakingPool', firstStakingPoolAddress);
+    const proxyInstance = await ethers.getContractAt('MinimalBeaconProxy', firstStakingPoolAddress);
+
+    const storedManager = await stakingPoolInstance.manager();
+    expect(storedManager).to.be.equal(stakingPoolManager.address);
+
+    const beacon = await proxyInstance.beacon();
+    expect(beacon).to.be.equal(cover.address);
+
+    // validate variable is initialized
+    const contractPoolId = await stakingPoolInstance.poolId();
+    expect(contractPoolId).to.be.equal(poolId);
+  });
+
+  it('allows anyone to create a new pool', async function () {
+    const { cover } = this;
+
+    const [stakingPoolCreator, stakingPoolManager] = this.accounts.generalPurpose;
+
+    const { initialPoolFee, maxPoolFee, productInitializationParams, depositAmount, trancheId, poolId } =
+      newPoolFixture;
+
+    const firstStakingPoolAddress = await cover.stakingPool(poolId);
+
+    await cover.connect(stakingPoolCreator).createStakingPool(
+      stakingPoolManager.address,
+      false, // isPrivatePool,
+      initialPoolFee,
+      maxPoolFee,
+      productInitializationParams,
       depositAmount,
       trancheId,
     );
 
     const stakingPoolInstance = await ethers.getContractAt('IStakingPool', firstStakingPoolAddress);
     const storedManager = await stakingPoolInstance.manager();
-    assert.equal(storedManager, stakingPoolManager.address);
+    expect(storedManager).to.be.equal(stakingPoolManager.address);
+  });
 
-    const proxyInstance = await ethers.getContractAt('MinimalBeaconProxy', firstStakingPoolAddress);
+  it('emits StakingPoolCreated event', async function () {
+    const { cover } = this;
 
-    const beacon = await proxyInstance.beacon();
+    const [stakingPoolCreator, stakingPoolManager] = this.accounts.members;
+
+    const { initialPoolFee, maxPoolFee, productInitializationParams, depositAmount, trancheId, poolId } =
+      newPoolFixture;
+
+    const stakingPoolImplementation = await cover.stakingPoolImplementation();
+
+    const firstStakingPoolAddress = await cover.stakingPool(poolId);
+
+    await expect(
+      cover.connect(stakingPoolCreator).createStakingPool(
+        stakingPoolManager.address,
+        false, // isPrivatePool,
+        initialPoolFee,
+        maxPoolFee,
+        productInitializationParams,
+        depositAmount,
+        trancheId,
+      ),
+    )
+      .to.emit(cover, 'StakingPoolCreated')
+      .withArgs(firstStakingPoolAddress, poolId, stakingPoolManager.address, stakingPoolImplementation);
+  });
+
+  it('increments staking pool count', async function () {
+    const { cover } = this;
+
+    const [stakingPoolCreator, stakingPoolManager] = this.accounts.members;
+
+    const { initialPoolFee, maxPoolFee, productInitializationParams, depositAmount, trancheId } = newPoolFixture;
+
+    const stakingPoolCountBefore = await cover.stakingPoolCount();
+
+    await cover.connect(stakingPoolCreator).createStakingPool(
+      stakingPoolManager.address,
+      false, // isPrivatePool,
+      initialPoolFee,
+      maxPoolFee,
+      productInitializationParams,
+      depositAmount,
+      trancheId,
+    );
 
-    await assert.equal(beacon, cover.address);
+    const stakingPoolCountAfter = await cover.stakingPoolCount();
+    expect(stakingPoolCountAfter).to.be.equal(stakingPoolCountBefore.add(1));
   });
 });
diff --git a/test/unit/Cover/helpers.js b/test/unit/Cover/helpers.js
index 4ce3cb4d97..312c3e25e7 100644
--- a/test/unit/Cover/helpers.js
+++ b/test/unit/Cover/helpers.js
@@ -56,18 +56,11 @@ async function assertCoverFields(
   expect(segment.priceRatio).to.be.equal(targetPriceRatio);
 }
 
-async function buyCoverOnOnePool({
-  productId,
-  coverAsset,
-  period,
-  amount,
-  targetPriceRatio,
-  priceDenominator,
-  activeCover,
-  capacity,
-}) {
+async function buyCoverOnOnePool(params) {
   const { cover } = this;
-  const [coverBuyer, stakingPoolManager] = this.accounts.members;
+  const [, stakingPoolManager] = this.accounts.members;
+
+  const { productId, capacity, activeCover, targetPriceRatio, amount } = params;
 
   await createStakingPool(
     cover,
@@ -80,6 +73,23 @@ async function buyCoverOnOnePool({
     targetPriceRatio,
   );
 
+  const allocationRequest = [{ poolId: 0, coverAmountInAsset: amount }];
+
+  return buyCoverOnMultiplePools.call(this, { ...params, allocationRequest });
+}
+
+async function buyCoverOnMultiplePools({
+  productId,
+  coverAsset,
+  period,
+  amount,
+  targetPriceRatio,
+  priceDenominator,
+  allocationRequest,
+}) {
+  const { cover } = this;
+  const [coverBuyer] = this.accounts.members;
+
   const expectedPremium = amount
     .mul(targetPriceRatio)
     .div(priceDenominator)
@@ -100,7 +110,7 @@ async function buyCoverOnOnePool({
       commissionDestination: AddressZero,
       ipfsData: '',
     },
-    [{ poolId: '0', coverAmountInAsset: amount }],
+    allocationRequest,
     { value: expectedPremium },
   );
 
@@ -129,4 +139,5 @@ module.exports = {
   buyCoverOnOnePool,
   MAX_COVER_PERIOD,
   createStakingPool,
+  buyCoverOnMultiplePools,
 };
diff --git a/test/unit/Cover/performStakeBurn.js b/test/unit/Cover/performStakeBurn.js
index 79c4b38c5e..9b5437d5b1 100644
--- a/test/unit/Cover/performStakeBurn.js
+++ b/test/unit/Cover/performStakeBurn.js
@@ -1,6 +1,6 @@
 const { ethers } = require('hardhat');
-const { assertCoverFields, buyCoverOnOnePool } = require('./helpers');
-const { bnEqual } = require('../utils').helpers;
+const { assertCoverFields, buyCoverOnOnePool, buyCoverOnMultiplePools, createStakingPool } = require('./helpers');
+const { expect } = require('chai');
 
 const { parseEther } = ethers.utils;
 const gracePeriodInDays = 120;
@@ -37,7 +37,7 @@ describe('performStakeBurn', function () {
 
     const burnAmountDivisor = 2;
 
-    const burnAmount = coverBuyFixture.amount.div(burnAmountDivisor);
+    const burnAmount = amount.div(burnAmountDivisor);
     const remainingAmount = amount.sub(burnAmount);
 
     const segmentAllocation = await cover.coverSegmentAllocations(expectedCoverId, segmentId, '0');
@@ -61,11 +61,163 @@ describe('performStakeBurn', function () {
 
     const burnStakeCalledWith = await stakingPool.burnStakeCalledWith();
 
-    bnEqual(burnStakeCalledWith.productId, productId);
-    bnEqual(burnStakeCalledWith.period, period);
-    bnEqual(burnStakeCalledWith.amount, expectedBurnAmount);
+    expect(burnStakeCalledWith.productId).to.be.equal(productId);
+    expect(burnStakeCalledWith.period).to.be.equal(period);
+    expect(burnStakeCalledWith.amount).to.be.equal(expectedBurnAmount);
 
     const activeCoverAmount = await cover.totalActiveCoverInAsset(coverAsset);
-    bnEqual(activeCoverAmount, amount.sub(burnAmount));
+    expect(activeCoverAmount).to.be.equal(amount.sub(burnAmount));
+  });
+
+  it('reverts if caller is not an internal contract', async function () {
+    const { cover } = this;
+
+    const {
+      members: [member],
+    } = this.accounts;
+
+    const { amount } = coverBuyFixture;
+
+    const { segmentId, coverId: expectedCoverId } = await buyCoverOnOnePool.call(this, coverBuyFixture);
+
+    const burnAmountDivisor = 2;
+
+    const burnAmount = amount.div(burnAmountDivisor);
+
+    await expect(cover.connect(member).performStakeBurn(expectedCoverId, segmentId, burnAmount)).to.be.revertedWith(
+      'Caller is not an internal contract',
+    );
+  });
+
+  it('does not update total active cover if tracking is not enabled', async function () {
+    const { cover } = this;
+
+    const {
+      internalContracts: [internal1],
+    } = this.accounts;
+
+    const { coverAsset, amount } = coverBuyFixture;
+
+    const { segmentId, coverId: expectedCoverId } = await buyCoverOnOnePool.call(this, coverBuyFixture);
+
+    const burnAmountDivisor = 2;
+    const burnAmount = amount.div(burnAmountDivisor);
+
+    const activeCoverAmountBefore = await cover.totalActiveCoverInAsset(coverAsset);
+
+    await cover.connect(internal1).performStakeBurn(expectedCoverId, segmentId, burnAmount);
+
+    const activeCoverAmountAfter = await cover.totalActiveCoverInAsset(coverAsset);
+    expect(activeCoverAmountAfter).to.be.equal(activeCoverAmountBefore);
+  });
+
+  it('updates segment allocation cover amount in nxm', async function () {
+    const { cover } = this;
+
+    const {
+      internalContracts: [internal1],
+    } = this.accounts;
+
+    const { amount } = coverBuyFixture;
+
+    const { segmentId, coverId: expectedCoverId } = await buyCoverOnOnePool.call(this, coverBuyFixture);
+
+    const burnAmountDivisor = 2;
+
+    const burnAmount = amount.div(burnAmountDivisor);
+
+    const segmentAllocationBefore = await cover.coverSegmentAllocations(expectedCoverId, segmentId, 0);
+
+    const expectedBurnAmount = segmentAllocationBefore.coverAmountInNXM.div(burnAmountDivisor);
+
+    await cover.connect(internal1).performStakeBurn(expectedCoverId, segmentId, burnAmount);
+
+    const segmentAllocationAfter = await cover.coverSegmentAllocations(expectedCoverId, segmentId, 0);
+    expect(segmentAllocationAfter.coverAmountInNXM).to.be.equal(
+      segmentAllocationBefore.coverAmountInNXM.sub(expectedBurnAmount),
+    );
+  });
+
+  it('should perform a burn on a cover with 1 segment and 2 pool allocations', async function () {
+    const { cover } = this;
+
+    const {
+      internalContracts: [internal1],
+      members: [, stakingPoolManager],
+      emergencyAdmin,
+    } = this.accounts;
+
+    const { productId, coverAsset, period, amount, targetPriceRatio, capacity, activeCover } = coverBuyFixture;
+
+    await cover.connect(emergencyAdmin).enableActiveCoverAmountTracking([], []);
+    await cover.connect(emergencyAdmin).commitActiveCoverAmounts();
+
+    const amountOfPools = 4;
+
+    const amountPerPool = amount.div(amountOfPools);
+    const allocationRequest = [];
+
+    for (let i = 0; i < amountOfPools; i++) {
+      await createStakingPool(
+        cover,
+        productId,
+        capacity,
+        targetPriceRatio,
+        activeCover,
+        stakingPoolManager,
+        stakingPoolManager,
+        targetPriceRatio,
+      );
+      allocationRequest.push({ poolId: i, coverAmountInAsset: amountPerPool });
+    }
+
+    const { segmentId, coverId: expectedCoverId } = await buyCoverOnMultiplePools.call(this, {
+      ...coverBuyFixture,
+      allocationRequest,
+    });
+
+    const burnAmountDivisor = 2;
+
+    const burnAmount = amount.div(burnAmountDivisor);
+    const remainingAmount = amount.sub(burnAmount);
+
+    const segmentAllocationsBefore = [];
+    for (let i = 0; i < amountOfPools; i++) {
+      const segmentAllocationBefore = await cover.coverSegmentAllocations(expectedCoverId, segmentId, i);
+      segmentAllocationsBefore.push(segmentAllocationBefore);
+    }
+
+    const expectedBurnAmountPerPool = segmentAllocationsBefore[0].coverAmountInNXM.div(burnAmountDivisor);
+
+    await cover.connect(internal1).performStakeBurn(expectedCoverId, segmentId, burnAmount);
+
+    await assertCoverFields(cover, expectedCoverId, {
+      productId,
+      coverAsset,
+      period,
+      amount: remainingAmount,
+      targetPriceRatio,
+      gracePeriodInDays,
+      segmentId,
+      amountPaidOut: burnAmount,
+    });
+
+    const activeCoverAmount = await cover.totalActiveCoverInAsset(coverAsset);
+    expect(activeCoverAmount).to.be.equal(amount.sub(burnAmount));
+
+    for (let i = 0; i < amountOfPools; i++) {
+      const stakingPool = await ethers.getContractAt('CoverMockStakingPool', await cover.stakingPool(i));
+
+      const burnStakeCalledWith = await stakingPool.burnStakeCalledWith();
+
+      expect(burnStakeCalledWith.productId).to.be.equal(productId);
+      expect(burnStakeCalledWith.period).to.be.equal(period);
+      expect(burnStakeCalledWith.amount).to.be.equal(expectedBurnAmountPerPool);
+
+      const segmentAllocationAfter = await cover.coverSegmentAllocations(expectedCoverId, segmentId, i);
+      expect(segmentAllocationAfter.coverAmountInNXM).to.be.equal(
+        segmentAllocationsBefore[i].coverAmountInNXM.sub(expectedBurnAmountPerPool),
+      );
+    }
   });
 });