With higher number of teams, players and matches in IPL this year, BCCI has reportedly increased the insurance cover for ongoing IPL 2022.??
Board of Control for Cricket in India (BCCI) has bought a 25% bigger insurance cover of ?5,000 crore for this year¡¯s IPL, which becomes the largest ever cover to be bought in India for any sporting event. Last year, the BCCI had reportedly bought a ?4,000 crore cover.
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The IPL insurance policy involves numerous stakeholders including BCCI, the teams, the broadcaster, sponsors and ancillary service providers. The insurance covers them for any revenue loss on account of unforeseen events, such as weather issues, riots, loss of player fees on account of injury or illness and medical costs.
Aatur Thakkar, co-founder and director Alliance Insurance Brokers reportedly said, as per BusinessToday report, ¡°It is the largest cover of any sporting event in India as this time the league has been expanded to 10 teams with 74 matches from 60 last IPL. However, the risks have also increased this time with the concentration of teams in one state only. This time matches are played only in Mumbai and Pune, which otherwise were spread pan India previously.¡±?
IPL takes insurance cover for revenues and expenses involved in the tournament, including event broadcast.?
Event cancellation is the biggest component of the insurance cover but it does not cover cancellation of matches due to Covid-19. Thakkar added ¡°Pandemic has become a pre-existing disease and therefore for communicable disease the cover is not available.¡±
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