The Covid-19 pandemic has shaken the World beyond imagination. Many major sporting events have taken a hit with football around the World, as well as a significant cricketing event such as IPL has been either postponed or canceled. The Tokyo Olympics have also been delayed to 2021. Another big shock to the tennis World is the cancellation of the 2020 edition of Wimbledon. It is the first time that the tennis major has canceled outside the World Wars. However, one shrew investment by the organizers might have saved them from losses worth millions of Dollars.
What is the crux of the matter?
All the major events held around the World generally have an Insurance policy that protects them from the losses. These Insurance policies are triggered when the game is canceled or postponed due to some reasons such as rain, war, or other political matters. However, most of the events do not pay a premium amount to safeguard their event from a pandemic. Though, the organizers of Wimbledon proved extremely lucky as they were safe secured by an insurance policy that protects them from such a situation.
How much will Wimbledon receive?
As per reports, the organizers of Wimbledon have been paying $2 million each year as a premium to secure their event from the pandemic. They started the policy in 2002 after the event faced a similar cancellation threat following the outbreak of the SARS event in 2003. Darren Rovell of The Action Network released the report. He said,” “Wimbledon reportedly paid (US)$2 million a year for pandemic insurance for the last 17 years,” Rovell tweeted. “For this year’s cancellation as a result of the Coronavirus, Wimbledon will reportedly receive (US)$141 million from the policy.”
Rovell cited a Wimbledon spokesperson who said, “We have always sought to buy the optimum insurance coverage available,”
Tennis World has received a considerable setback in the ongoing season. All the ATP and WTA events are canceled till 13th July, whereas the French Open has been postponed to September.