Question for the board.
- Thread starter Dandelion1972
- Start date
Yes. In summary: You'd have to get a disability policy and add a rider of loss of value due to injury. There's also a critical injury rider but the max value is low. The products have high monthly premiums and I'm sure you know, insurance is going to write as many exclusions as possible so its challenging to get your payouts, especially when you consider its millions of dollars. Plus it wouldn't even cover your full potential earnings.
https://www.sportico.com/business/commerce/2021/loss-of-value-insurance-hard-times-1234621989/
Here's some excerpts:
LOV insurance can only be purchased as a rider on an existing permanent total disability policy, not as its own stand-alone product. There is no official standard for the coverage’s terms, exclusions or thresholds—leaving those determinations up to the specific carriers. Typically, the policies have coverage limits between $1 million and $10 million and thresholds set around 60% of the projected value of an athlete’s rookie contract.
Chicago-based Pro Financial Services, says it recently decided to take LOV coverage off of its platform altogether. Dan Burns, the company’s CEO, told Sportico that he has simply lost faith in the product. “The terms have been made very restrictive,” Burns said in an interview. “I am not comfortable underwriting [policies] with exclusions like degenerative conditions and cumulative trauma.”
By the beginning of 2015, the NCAA had adopted new legislation allowing athletes to take out loans to pay for the insurance premiums themselves—further expanding the potential pool of applicants. (Athletes or their families can also pay for the policies out of their own pockets, but this rarely happens.)
Some in the market responded by continually dropping their LOV insurance premiums to the point where $1 million of coverage for a college football player could be purchased for around $6,000.
Although the policies were complex and caveat-ridden, a general misunderstanding took hold—egged on by the market—that LOV insurance effectively guaranteed millions of dollars to any pro prospect who believed he had slipped in the draft on account of an injury.
This expectation, experts say, contributed to high-profile litigation against the Lloyd’s syndicates and certain American coverholders. From 2017 to 2018, there were at least four lawsuits filed by star college athletes over LOV claims.
One Power 5 athletic director, who said his school has never paid for LOV premiums, described the product as a “scam.”
“It’s expensive, the criteria for claims was very narrow, and it was hard to prove,” the AD told Sportico. “One could be misled easily, and I think a number of student-athletes fell into that trap, in some cases with the universities paying the bill.”
As a new substitute for LOV, underwriters have been selling more and more critical-injury insurance to college athletes, a product Pro Financial Services first introduced in 2016. The rider specifies a list of injuries that will trigger a claim. Although the policies have relatively high premiums ($25,000) for payouts that max out at $250,000, their advantage is in their straightforwardness.
Local insurance brokers/agents arent equipped to handle something like this.
there are also some players who don't want to play in the bowl game or attend the combine because they are afraid it will affect/lower their NFL draft status . I don't believe that Clemson Qb participated much at the Combine last year.
I would believe Bell would want to participate in this bowl game because I expect it to be a real shoot-out and it should showcase his talents.
The lions are rumored to want a LB/DE pass rusher and GK's name has been mentioned. A couple of big sacks could improve his draft stock.
as far as injuries go, a lot of them happen in practice. If a player is too fragile to worry about an injury, I'm not sure i'd want to draft him. and if the player has a histor y of injuries, I'm not sure i'd want to draft him then either.
I would believe Bell would want to participate in this bowl game because I expect it to be a real shoot-out and it should showcase his talents.
The lions are rumored to want a LB/DE pass rusher and GK's name has been mentioned. A couple of big sacks could improve his draft stock.
as far as injuries go, a lot of them happen in practice. If a player is too fragile to worry about an injury, I'm not sure i'd want to draft him. and if the player has a histor y of injuries, I'm not sure i'd want to draft him then either.
1 game isnt going to move their draft stock. They have a seasons worth of film. Scouts are smarter than you are giving them credit for.
I don't think it is only a matter of getting severely injured in the bowl game. That is just one thing to consider, the less probable worst case scenario.
Besides injury, there are other very real aspects to the decision.
Not having to practice for the next few weeks or play in another game prevents typical wear and tear that comes with playing football. And don't forget these guys are pretty banged up already after a 12 game season. They need to heal.
With the NFL combine less than 2 months into the new year, the players need to use this time to heal up and start 100% focusing on the skills and drills they will be tested on. Being at less than 100% can spell precious tenths of a second or #reps on a lift. These things can translate into draft position and financial security.
Not worth the risk when you look at the big picture.
Besides injury, there are other very real aspects to the decision.
Not having to practice for the next few weeks or play in another game prevents typical wear and tear that comes with playing football. And don't forget these guys are pretty banged up already after a 12 game season. They need to heal.
With the NFL combine less than 2 months into the new year, the players need to use this time to heal up and start 100% focusing on the skills and drills they will be tested on. Being at less than 100% can spell precious tenths of a second or #reps on a lift. These things can translate into draft position and financial security.
Not worth the risk when you look at the big picture.
I have been wondering why does this not apply to basketball players. We have a player who is probably going to be top 5 selected in the next draft. Does he not play till the end of the year risking injury? Or does this only apply if you are playing for a national championship like # 97 on Michigan.
Maybe I haven't kept up (trying to close business before the EOY), but who is "questioning it"?
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