Australian Open loses millions of insurance technicalities against the coronavirus pandemic

It was revealed Thursday that the Australian Open joined Wimbledon in taking out pandemic insurance to safeguard the first major slam of the year from bizarre pandemics such as the spread of COVID-19.

However, the Tennis Australia tournament will not be eligible for any insurance payments next year because the policy will expire in 2020 – and Tennis Australia has not had a chance to renew the deal in the current climate.

It means that the Australian Open is not protected if Open 2021 is derailed by restrictions on the coronavirus and financial deficiencies.

A Tennis Australia spokesman confirmed to The Age that the policy will expire this year and that Tennis Australia will seek to renew its protection from the pandemic when insurance providers offer the post-coronavirus product again.

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“Although we have been able to have pandemic coverage as part of our policy in recent years, the current situation with COVID-19 makes it prohibitive to move forward, certainly in the short term,” said a spokesman.

The technicality, which could cost hundreds of millions of Australian Open, has been labeled “brutal” by New York Times tennis journalist Ben Rothenberg.

“The Australian Open have had the incredible foresight to pay for pandemic insurance,” Rothenberg wrote on Twitter.

“But it’s slated to expire before next year’s tournament. Brutal.”

Tennis Australia CEO Craig Tiley said in May that he is confident of tennis’s 2020-21 summer, proceeding as planned despite the growing threat of coronavirus that will extend into the next year.

“It will be through crowds that they are distancing themselves from the social perhaps only from Australia and New Zealand, or since then perhaps some international crowds,” Tiley told Channel 7.

“It is difficult to know but we are preparing for all this. We are also preparing to downsize if we need to, but the full plan is to have an Australian Open in January and have our flagship events. “

Tournament director Tiley also said that the Australian Open could absorb the event’s success by moving on without spectators.

It comes as the US Open and French Open continue to prepare for staging later this year.

Roland Garros was the first major slam to reschedule his 2020 event due to the coronavirus, switching to a September schedule.

It will only be played one week after the 2020 US Open ended on 13 September.

Wimbledon earlier this year announced that the 2020 event would not be staged for the first time since World War II in 1945.

Wimbledon is also ready to come up with over $ 200 million in an insurance payment after also having the incredible foresight to take out pandemic insurance following the 2002 SARS fear.

In figures yet to be confirmed by Wimbledon officials, the sport’s most prestigious event will receive between $ 200 million and $ 500 million after subscribing to pandemic protection for more than 17 years.

According to reports, Wimbledon paid around $ 3 million a year as part of the policy.

“Obviously we are lucky to have insurance,” England general manager Richard Lewis told The Times. “It helps but doesn’t solve all the problems.”

The $ 51 million may be the best money Wimbledon has ever spent while the Australian Open won’t see a cent.