IPL 2020 will not see teams being compensated owing to the insurance if fresh COVID-19 cases lead to cancellation of the match. All COVID-19 precautions have been put in place for the upcoming Indian Premier League (IPL), however, there is no insurance cover for any potential mishap.
Amidst the ongoing pandemic, insurers of sporting events around the world have excluded communicable diseases from their list, and IPL 2020 will be no exception. However, all matches are covered by compensation due to natural calamities.
IPL 2020 Will Not Be An Exception As COVID-19 Is Not An Unforeseen Eventuality
Despite the fact that all the IPL franchises have separate insurance agencies, and premiums are in the range of Rs 3-5 crore per team. However, normally international and IPL matches in India are covered for accidental cancellations due to unforeseen reasons.
“Since Covid-19 is not an unforeseen eventuality, even insurers have stopped offering compensation for all communicable diseases,” an official said on condition of anonymity.
Football in Europe and cricket in England abides by the same rule which was in effect at recently-concluded US Open as well. The Olympics and Wimbledon tournaments got compensations because they had pre-existing insurance deals, which offered cover for pandemics.
Insurance agencies consider a match to be cancelled only in case, not even a single ball is bowled. The home team is compensated with gate receipts while both home and away teams receive the equivalent of their share of the broadcast deal from that particular match. If spectators are not allowed into the grounds, insurance covers generally take care of all the other losses.
IPL 2020 Will Be In UAE Where Unforeseen Interruptions Are Less Likely To Occur
It is understood that the insurance premiums of each IPL side have not increased despite the tournament taking place in a foreign country. Industry experts feel that chances of unforeseen interruptions like political rallies or protests are lesser in the UAE.
The fact that matches will be played in just three venues instead of eight has eased out the logistics part. However, it is to be noted that the insurance deals were signed after the BCCI decided to shift IPL 2020 to the UAE.