Posted on 04/09/2020 4:01:44 AM PDT by Cronos
Wimbledon has reportedly paid $2 million a year for 17 years to be protected by something called pandemic insurance. So with the COVID-19 crisis hitting the world, the annual major tennis tournament has been canceled altogether, rather than postponed like many other major sporting events around the globe.
Wimbledon's insurance policy for canceling its tournament is worth a cool $141 million in American dollars, according to a tweet from Darren Rovell, a sports business reporter with Action Network who has covered the story since Wimbledon announced its cancellation.
Last week, the All England Lawn Tennis Club (AELTC) mentioned the policy when announcing the tournament's cancelation.
So for the $34 million paid for this insurance over 17 years, and with a $141 million return, it looks like: Advantage, WImbledon.
The tournament rakes in money for the All England Club through sponsorships, TV contracts, ticket sales and a wide array of revenue streams.
(Excerpt) Read more at newsweek.com ...
Dang I should have got that pandemic rider...
Or watch for the insurance company to declare bankruptcy.
I’m going to guess (can’t find it anywhere) that they took out a policy from Lloyds of London. It has a strong reputation over centuries
FWIW, I don’t mind bailing out insurance companies that pay out to cover people/biz/orgs that had skin in the game.
Nobody needs tennis.
Everybody needs insurance.
“...Or watch for the insurance company to declare bankruptcy.”
I agree with Cronos it’s likely Lloyds of London.
Lloyds model:
Somebody wants something insured, Lloyds states a premium for the agreed to coverage. Wealthy folks pledge money to cover ‘something insured’ (The Lawn Tennis Championships, commonly referred to as Wimbledon) and receive a portion of the premium.
Example: You own a home/estate worth $14.1 million. You are offered $175,000 per year to underwrite 1/10th of the $141 million Wimbledon policy. For 16 years you have received a nice income without much work at all.
If there is a loss, the wealthy person coughs up the cash. Lloyds of London WILL NOT be declaring bankruptcy for this or any other covered loss...there may be some dire hardship for several MBE’s however.
Can you name any major insurance company that ever declared bankruptcy ? Doubtful
“Can you name any major insurance company that ever declared bankruptcy ? Doubtful”
Happens all the time.
Life of Montana is one just down the road from me...
Also (took all of 10 seconds to find):
# 1 Penn Treaty Network America Insurance Company. ...
# 2 American Medical and Life Insurance Company. ...
# 3 CoOportunity Health. ...
# 4 Executive Life Insurance Company of New York. ...
# 5 Lumbermens Mutual Casualty Company.
Are those majors ? Appears 2nd or 3rd tier to me , but insurance is not my balliwick.
After the 2008 crash, the biggest insurers went TU, Fannie Mae and Freddy Mac were bailed out, they are insurance agencies. How about AID?
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