Insuring the B1G (2 Viewers)

[Elquesogrande68]

Serious question for the actuaries and insurers in the world. Based on all of the published data on the mortality rate for the average age of a football player very close to zero. Add to that, all of the precautions that are in place, the testing for myocarditis and the daily testing would lead you to believe that the schools could shield/protect those that show signs of vulnerability. If all of these are truths, and the biggest fear is ‘safety’ (although we all know it is largely political), then it would see logical to me that insurance companies would be clamoring to write policies to covering football programs for the costs of litigation from a student death. Even if it was a stop-loss policy as I suspect most universities are self-insured.

It would see a good bet, particularly since 7-8 programs would likely bight the hand off of anyone willing to insure them and be willing to pay millions in premiums as it would be a drop in the ocean versus the loss of playing a season.

Thoughts? Experts?

 

[Jim14510]

Guessing here but I would imagine the bigger liability exposure is if the kid developed a side effect of covid and wasn't able to play in the NFL because of it. Future earnings would be lost so potential for big exposure. Assigning fault would appear more difficult.

 

[Elquesogrande68]

Guessing here but I would imagine the bigger liability exposure is if the kid developed a side effect of covid and wasn't able to play in the NFL because of it. Future earnings would be lost so potential for big exposure. Assigning fault would appear more difficult.

Agree but even if there were one or two cases and the settlements were 30-40m...I think the risk is low and i suspect if the premiums were even 15 or 20m th the universities would be willing to pay. Just my thoughts

 

[HuskerGarrett]

 

[cwessel76]

Agree but even if there were one or two cases and the settlements were 30-40m...I think the risk is low and i suspect if the premiums were even 15 or 20m th the universities would be willing to pay. Just my thoughts

If AD deptartments are already projecting wing in the red by $100M+ I doubt the $15-20M in premiums is something they want to take on right now.

Granted TV money is still a factor in the equation I have a sneaky suspicion that Warren et al have done the number crunching I consultation with their lawyers in coming to the decision they landed on.

It’s not what I would do but I can see their thought process.

 

[Jim14510]

Agree but even if there were one or two cases and the settlements were 30-40m...I think the risk is low and i suspect if the premiums were even 15 or 20m th the universities would be willing to pay. Just my thoughts

I think the possible exposure is a lot more than 1 or 2. Every player that had that issue guaranteed NFLer on down to no chance would sue.

 

[Elquesogrande68]

I think the possible exposure is a lot more than 1 or 2. Every player that had that issue guaranteed NFLer on down to no chance would sue.

I was more thinking fear of liability in the event of death, but understand what you are saying now. As you said, hard to prove, but at a stretch I could see kids claiming that they had Covid, tested positive for myocarditis, which has kept them from an NFL career. Personally I think that is a stretch given 1) super low rates of myocarditis positive test (despite what the PedoSt official said) and 2) proof that the player was a viable NFL pick and that his career would anything more than the average of 3.3 years.

I get your point, and I’m sure there are tons of things I’m overlooking including the variability of the data. I just personally think the risk profile is very low and with the revenue $ at risk that some insurer hasn’t at least run a model.

 

[Jim14510]

I was more thinking fear of liability in the event of death, but understand what you are saying now. As you said, hard to prove, but at a stretch I could see kids claiming that they had Covid, tested positive for myocarditis, which has kept them from an NFL career. Personally I think that is a stretch given 1) super low rates of myocarditis positive test (despite what the PedoSt official said) and 2) proof that the player was a viable NFL pick and that his career would anything more than the average of 3.3 years.

I get your point, and I’m sure there are tons of things I’m overlooking including the variability of the data. I just personally think the risk profile is very low and with the revenue $ at risk that some insurer hasn’t at least run a model.

Agree that logically it would seem small. Just dont know guessing based off what they are saying.. Would be interested if there are any insurance specialists that will chime in.

 

[cwessel76]

Agreed. Regardless of the his reasons the lack of transparency in this whole fucking ordeal is maddening and makes the Big Ten look like a morons.