Athletes, sports teams, clubs and sporting organisations can purchase a sports insurance policy to shield themselves against possible financial losses arising from a range of causes. Sport insurance offers financial cover against medical expenses, accidental damage and liability claims incurred during a sports activity or event. Well, that’s what the general understanding is anyway. As to how much of it is actually a reality in our country, I’m certain we’ve got a long way to go. Based on dialogue with several of our athletes and organisations, it appears that the opportunity is not easily available, as insurance companies are either skeptical with the risks involved or the cost is out of reach for the athlete, club or organisation.
Sports insurance is classified according to the age of or category that the policyholder falls under. On the basis of age factor, sports insurance is classified as: insurance for children and students below 19 years; insurance for professional sportsperson/team; insurance for amateur sports teams; insurance for junior school sports teams and insurance for senior school sports teams.
The most common forms of sports insurance include the following: Accident insurance, which is an accident-cum-medical insurance that pays for medical expenses on behalf of the injured sportsperson. The availability of the best possible medical treatment reduces the threat of lawsuits against sports authorities by the injured player.
General liability insurance pays for bodily injury to any spectator or player due to the negligence of the sports authorities. The policy pays for the legal cost of defending the indemnity action. Then there is authority’s liability insurance. This insurance covers liabilities that are not covered under general liability insurance, such as financial losses. Liability claims under the purview of suppression of rights are also covered under this policy. Such claims may arise when a player disputes termination or suspension by the authority.
Sports equipment protection plans: Costly sports accessories of individual players or of the entire team are insured under the equipment protection plan. Sports travel insurance plans allow individuals or sports teams to buy domestic or international travel insurance to cover possible financial losses during a sports trip. This includes flight delay, baggage loss, ticket cancellation, accidental injuries or medical expenses.
Athletes and club owners may be asking themselves, “Do I need sports insurance?” It is indeed the wisest way to protect all parties involved for sports and recreation organisations and their employees and volunteers against lawsuits. Purchasing sports insurance provides the organisers of the event both a safe and sound plan for protecting participants, coaches, officials, players, staff and spectators alike in the event there is an accident.
The old adage “it’s better to be safe than sorry” truly applies, as sports organisations encounter a wide range of injuries and lawsuits as the numbers indicate. Reports have shown that between nearly 1.5 to 3.5 million youth sports participants in the US sustain injuries in sports accidents. While sports like football, cricket, basketball and athletics rank as the leading cause of athletic injuries, other sports like hockey, rugby and tennis are climbing the list.
But it’s not only the players who feel the pain. Coaches, team managers and even event sponsors can be a dangerous liability when it comes to sports injuries. It’s merely not enough to sign a waiver or release form to avoid a lawsuit these days, particularly if a minor is involved. To help ease the process of purchasing sports insurance, sports organisations should focus on these three to five different insurance policies mentioned earlier. There is also crime insurance which will cover financial losses as a result of embezzlement or theft by an employee or volunteer.
The Secondary Schools Football League has a basic coverage for all participating teams and players but it does not include an official insurance partner. There are plans afoot to improve the arrangements this season. The national football teams have coverage for teams during competitions but several other leagues and competitions are facing challenges finding insurance partners. Healthnet Caribbean Limited provides health coverage to all national football teams. This allows players to receive medical screening and not just treatment upon injury.
Former Norwich striker Ricky van Wolfswinkel is undergoing treatment for a brain aneurysm after it was discovered during scans following concussion. The 30-year-old sustained the concussion during Basel’s Champions League qualifying match against LASK earlier this month. The aneurysm was not caused by the knock and was only discovered after he was taken to the hospital for scans. This could happen to any footballer.
Lawinsport.com stated, “Risk managers, clubs, athletes, governing bodies and event organisers (amongst others) should all be seriously considering risk management day-to-day, and it ought to be an integral part of any individual or team’s commercial toolbox.”
Local insurance companies should try to engage more sporting organisations. The market is growing and coverage is now essential in all developing sporting countries. It’s the true sign of a win-win situation and a smart move by any sports organisation, team or league.
Shaun Fuentes is the head of TTFA Media. He is a former FIFA Media Officer at the 2010 FIFA World Cup in South Africa. He is also currently a CONCACAF Competitions Media Officer and has travelled extensively, experiencing and learning from different cultures and lifestyles because of sport and media over the past 20 years. He is also a certified media trainer for athletes.