Contingency Insurance

Contingency Insurance

Paying close attention to

risks outside the box

Paying close attention to

risks outside the box

Remove the uncertainty

Specific scenarios keeping you awake at night? You might not even realise it’s possible to insure them. No matter what the issue is, or how strange the request is, HDL have a history of delivering bespoke contingency solutions for unconventional risks that players, clubs, associations and businesses face.

Specific scenarios keeping you awake at night? You might not even realise it’s possible to insure them. No matter what the issue is, or how strange the request is, HDL have a history of delivering bespoke contingency solutions for unconventional risks that players, clubs, associations and businesses face.

Remove the uncertainty

What is Contingency insurance ?

Contingency insurance can protect against a variety of threats to the successful completion of a sporting event. Designed to offset the potential financial loss by reimbursing you for the costs associated with your event being cancelled, abandoned, interrupted, curtailed, postponed or relocated for reasons outside of your control, including the non-appearance of a participant.

Contingency insurance is also often used as a viable business tool to drive increased sales, memberships, participation and attendance through carefully crafted coverage including prize indemnity for competitions like a hole-in-one or lottery jackpot, and promotion insurance for when your special offer gets a greater response than you expect.

Examples of Contingency insurance options?

Contingency solutions are specifically designed to protect you from the niche financial risks associated with contractual bonuses, sports performance, injury, major events, weather risks and prize-related contests, including:

  • Adverse weather: Standalone weather coverage for named windstorms, extreme winds, electrical storms, rainfall, snowfall, and extreme temperatures. Adverse weather coverage can be written on a per event basis.
  • Contract bonus: Common in sponsorship, promotional, and/or endorsement contracts, this coverage is designed to pay the bonus on a specified basis to a professional athlete, spokesperson, and/or celebrity if he or she achieves certain contractual goals.
  • Death: Coverage will pay the insured amount based on contractual obligations for the failure of the insured person to survive for the duration of the policy.
  • Disablement: When an insured person suffers an accident or illness that causes the necessary cancellation or withdrawal of an insured event, the policy will cover the insured amount declared.
  • Disgrace: Coverage for disgrace typically protects against situations that degrade or bring an insured person into disrepute or provokes insult or shock to the community and reflects unfavourably upon an insured, its principals, or its products.
  • Event cancellation: provides expense or revenue protection when something outside of an insureds’ control cause the necessary cancellation, postponement, relocation, curtailment, or abandonment of an event.
  • Hole-in-One: Hole-in-one prizes have always been a great way to add excitement to any golf event. Our hole-in-one insurance allows event organisers or sponsors to offer large cash prizes (or equivalent) for a significantly lower cost.
  • Key man coverage: Insurance can cover a key owner/employee who may be crucial to an insured’s business strategy and whose absence may bring adverse financial implications
  • National mourning: extends coverage to include any loss directly or indirectly arising out of, contributed to, or resulting from national mourning declared by the government or monarchy of the country in which the insured event is due to take place.
  • Non-appearance: Entertainers, personalities, and athletes are hired to provide entertainment. If an event must be canceled due to death, accident, illness, or travel delay, a nonappearance policy can protect your investment.
  • Over redemption: provides the ability to offer protection from excess recoupment above budgeted projections.
  • Prize indemnity: Games of chance where a prize can be awarded to a winner are commonly insured through a prize indemnity policy. This policy would pay, on behalf of the named insured, if any eligible contestants win the game or contest.
  • Terrorism: any threat or act of terrorism that is confirmed by local or national government authorities or security services as having posed or appeared to pose real risk or physical loss or damage or actual bodily injury or death if the event had proceeded. Sabotage, strikes, riots, civil unrest, and political subversion typically can be added.
  • Transmission failure: Any live or one-time broadcast event, whether on traditional media (such as network television) or other distributions, may be subject to a breakdown that prevents completion of a transmission.

HDL, the right partner for you.

Seek advice from HDL

HDL understand the niche financial risks associated with contractual bonuses, incentivised contracts, sports performance, promotions, major events, weather and prize related contests.

Our collaborative and consultative approach has seen us build long-term relationships with partners and clients alike, helping them make the most of what our expertise has to offer.

Whether it’s maximising a budget to negotiate a sponsorship deal, creating an engaging consumer promotion around a major sporting event or ensuring your protection in the event of a cancellation, HDL aim to work proactively to transfer the financial risk to the insurance market.

Revenue protection

Adverse or shock sporting results can often lead to a loss in revenue for a wide range of businesses and professional sports organisations, whose balance sheet is directly impacted by ‘on-field’ performance (e.g. broadcast rights, prize money, gate receipts and hospitality sales).

Carefully crafted revenue protection insurance can protect you against lost revenue associated with numerous sporting performance outcomes, including:

  • Relegation
  • Failure to qualify
  • Cricket test match early finish
  • Conditional transfer fees
  • Losses resulting from venue changes

Complimentary Review

Complimentary Review

Securing optimal insurance protection is becoming more challenging.

Having a fresh set of eyes can make a dramatic difference.  HDL welcomes the opportunity to evaluate and challenge your current risk and insurance program in a confidential manner that avoids disrupting existing relationships.

Insurance Broker

Our Global Insurance Network

Over 150 Insurers across the globe.

Our Global Insurance Network

Over 150 Insurers across the globe.