The first venue for the initial game involving Germany and Costa Rica is the 59,000-capacity Allianz Arena according to insurancejournal.com. Allianz is a Munich based insurance giant that pushed forward the construction of the stadium.
There will be 64 games in 12 cities causing many to fret over the possibility of security and coverage problems for all venues. According to Germany’s Federal Bureau of Criminal Investigation “21 of the 64 matches have been classified as ‘high risk’” that “range from hooliganism to outright terrorist threats.”
The amount of insurance taken out by German organizers is mind boggling but I’m sure more than worth the premiums paid. Peter Luck Head of Underwriting Special Risks for Swiss Re was interviewed on the Swiss Re website and gave some interesting facts:
The German organizers purchased a cover for postponement into 2007 and for total cancellation / abandonment from a whole syndicate of insurers in the value of approximately €150 million [$191 million]. Another liability cover was purchased to cover damages up to €140 million [$179 million]. Accident covers, finally, were also considered, indemnifying visitors to games in the case of death or disability. In 2003, FIFA, on the other hand, issued a catastrophe bond worth an equivalent of $260 million to cover the risk of a cancellation of the World Cup 2006 in Germany. The bond covers marketing revenue that FIFA would have to refund if the matches were canceled due to natural catastrophes and terrorism.
A world-class English soccer fan took out an insurance policy worth “£1 million ($1.8422 million) against England suffering early elimination from the World Cup. He reportedly paid £105 ($193.43) for the coverage. In order to collect, however, not only do the English have to exit early, but he would also have to prove with medical evidence that he has suffered an emotional or psychological trauma as a result.”
That is a true fan to believe you might face permanent damage to your psyche if England does less than stellar. I hope for his sake England at least advances into the second round.
» Manchester United Wants Compensation For Injured Player In World Cup from TheInsurancePolicy
As I mentioned in a recent post English football clubs are asking for compensation from FIFA for injured players in this years FIFA World Cup. Manchester United, an English football powerhouse, has a very vocal coach, Rafael Benitez, who said,... [Read More]
Tracked on: June 22, 2006 12:49 PM | Permalink to Trackback