Japans successful bid for huge insurance will win 500 million claims if the Olympic Games are cancelled

category:Sports
 Japans successful bid for huge insurance will win 500 million claims if the Olympic Games are cancelled


Due to the impact of the epidemic, the Tokyo Olympic Games is now in a huge crisis. According to foreign media reports, Tokyo bought a huge amount of insurance for itself after its bid was successful. According to foreign media reports, if the Tokyo Olympic Games are cancelled, the insurance companies will face a huge claim bill. It is reported that Munich reinsurance group will pay a 500 million USD insurance claim fee for the Tokyo Olympic Organizing Committee.

For each summer Olympic Games, the IOC invests about US $1 billion in each host city. For this reason, it will insure about US $800 million to insurance companies. Based on the 2-3% premium, the IOC will pay about US $24 million for the Tokyo Olympic Games. In general, the organizers of most international large-scale events will purchase insurance after the successful application to deal with the possible risks, and the Tokyo Olympic Games is no exception.

In general, large-scale events will be based on the mode of risk dispersion, through the purchase of commercial insurance and scientific use of its economic security function, to minimize and resolve the risks of holding, including personal accident insurance, athletes income loss insurance, property insurance, public liability insurance and ticket loss insurance closely related to consumers u3002 Novel coronavirus pneumonia is also a risk factor for the Tokyo Olympic Games. If the disease is not possible, the insurance for infectious diseases will naturally be covered by the policy.

According to Munich reinsurance group, the company has provided a staggering amount of cancellation products for the Tokyo Olympic Games, bearing up to $500 million in claims once cancelled. In fact, Munich reinsurance group also provided insurance for the Winter Olympics in Pyeongchang, with claims of 250 million US dollars at that time. In addition, the IOC and related sponsors, even broadcast and media companies, tourism and hotel industry, will also buy relevant insurance to protect their own interests. According to some investment banks estimates, if the TV broadcasters and sponsors are included, the Olympic expenses already insured will be about 2 billion US dollars, while the Olympic related reception service industry, about 600 million US dollars has been insured.

In fact, the postponement of the Olympic Games is a huge brokerage loss for all stakeholders. Previously, it had been estimated that if the Olympic Games were cancelled, Japan would suffer economic losses of up to 4.5 trillion yen (equivalent to 288.1 billion yuan), and even if it was postponed for one year, Japan would also suffer losses of up to 640 billion yen (equivalent to 41 billion yuan). Now Dick Pound is the first to disclose that the Olympic Committee has determined that the Tokyo Olympic Games will be postponed to 2021. The loss of the host side is undoubtedly the biggest, and the insurance claim stop loss may be only a drop in the bucket. As the biggest interest related party of the host country, the IOC will lose a lot. In addition to the competition copyright revenue, the investment promotion and sponsorship revenue of the Olympic Committee can reach more than one billion dollars. The existing 14 top sponsors have to pay a total of one billion dollars every year. Although the extension of the Tokyo Olympic Games will not cause the IOC a huge economic crisis, the established revenue will be greatly affected. Source: Netease sports Author: Leon editor in charge: Lu Ting, ns5242

In fact, the postponement of the Olympic Games is a huge brokerage loss for all stakeholders. Previously, it had been estimated that if the Olympic Games were cancelled, Japan would suffer economic losses of up to 4.5 trillion yen (equivalent to 288.1 billion yuan), and even if it was postponed for one year, Japan would also suffer losses of up to 640 billion yen (equivalent to 41 billion yuan). Now Dick Pound is the first to disclose that the Olympic Committee has determined that the Tokyo Olympic Games will be postponed to 2021. The loss of the host side is undoubtedly the biggest, and the insurance claim stop loss may be only a drop in the bucket.

As the biggest interest related party of the host country, the IOC will lose a lot. In addition to the competition copyright revenue, the investment promotion and sponsorship revenue of the Olympic Committee can reach more than one billion dollars. The existing 14 top sponsors have to pay a total of one billion dollars every year. Although the extension of the Tokyo Olympic Games will not cause the IOC a huge economic crisis, the established revenue will be greatly affected.