Insuring events like the World Cup involves substantial sums of money and years of negotiations. Anyone with a financial interest in a major international event will be buying insurance, from those organizing the event down to the vendors selling food outside the stadium. That means potentially billions of dollars are at risk over a short period of time.
Large events carry special risks, says David Boyle, a contingency class underwriter at ArgoGlobal.
“Civil unrest, rioting, terrorists – there’s a whole host of factors that could go wrong,” he says.
Here are some of the things insurers consider when underwriting large events.