Just What do the Insurance Companies Know?
Many of you readers probably remember that Riddell (the OFFICIAL Helmet of the NFL!) saw most of their insurance companies bail on them this Spring as concussion lawsuits mounted (well over 3,000 so far). This escalated into strained relations between the NFL and Riddell as the helmet manufacturer scrambles to limit their risks and liability. And now, earlier this week, Alterra America Insurance went to court in New York to have their liability limited in covering the NFL, both with defending them in court as well as in the payout should the retired players ultimately succeed in their litigation.
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Everyone knows that insurance companies run on numbers and statistics so they can make money by taking calculated risks. What have they learned recently that has them bailing like rats off a sinking ship? We suspect that as the insurance companies’ litigation moves forward, there may well be a lot of information disclosed and exposed that should affirm much of what retired players have also been asserting in their lawsuits against the NFL. BTW – It’s also interesting to note that the ESPN article seems to indicate that Alterra has only been covering the NFL for the past year (?!!). Does this mean that they just came on board after other insurers jumped ship? Inquiring minds want to know!
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Here’s the story on Alterra as reported on ESPN followed by a terrific summary from our friend (and hopefully new law school grad!), Paul Anderson, over at NFL Concussion Litigation:
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