I'm not sure if there is an insurance policy similar to Wimbledon in India: BCCI official
NEW DELHI: The news that The All England tennis The club is set to accumulate around £ 100 million of insurance claims after this year's cancellation Wimbledon has led to questions about why the BCCI consider including a virus related clause in your insurance policy to IPL . But the board says that policies vary from place to place.
Speaking to IANS, a BCCI official said that the market and the feasibility is something that must be taken into consideration before comparing Wimbledon to the IPL. Also, it needs to be seen if at all there is some clause like cancellation due to pandemic in the Indian market.
The insurance sector is very different from region to region. In the UK it has developed differently. The presence of some big reinsurers in the UK market coupled with the complexities and the maturity of the UK insurance market is the backdrop that one has to view while looking at the Wimbledon model being discussed.
I am not even sure whether the option for such a policy like what the Wimbledon had, i.e. insurance for cancellation on account of a pandemic existed with the insurance companies and their reinsurers for the Indian market, I explained.
The official in explaining the scenario further cited the example of an English footballer as David Beckham getting his leg insured whereas the BCCI had to sweat it out to get insurance policy for loss of pay for the Indian contracted players.
If you were to take the example of David Beckham, his legs were insured for a 100 million pounds in 2006, you don't see anything similar in our market. From what I know, the insurance policy for loss of pay for the Indian contracted players was also curated by the BCCI and it took some doing. The BCCI would also assess such a scenario for the future as well in terms with the established processes of corporate governance, he said.
But the official believes that the trend in India may change with the effects felt by COVID-19. You can see the emergence of this trend now, but only after these companies can really study the impact of this pandemic, as they would have to assess the value of the premium for such a scenario, he explained.
But the official also noted that hindsight is much more beautiful than when you are faced with an unforeseen situation.
If you see the companies, the media, etc., they are all reeling with the effects of this situation and these are unexplored territories that we all have to negotiate together so that there is no real workforce. Hindsight, of course, is a 20/20 vision, he smiled.