Sports insurance is classified according to the age of or category that the policyholder falls under. On the basis of age factor sports insurance are classified as:
Insurance for children and students below 19 years
Insurance for professional sportsperson/team
Insurance for amateur sports teams
Insurance for junior school sports team
Insurance for senior school sports team
Based on category, sports insurance can be classified as:
Adventure sports policy
Dangerous sports policy
Extreme sports policy
Winter sports insurance
The most common forms of sports insurance are:
Accident insurance: This is an accident-cum-medical insurance that pays for medical expenses on behalf of the injured sportsperson. The availability of the best possible medical treatment reduces the threat of lawsuits against sports authorities by the injured player.
General liability insurance: This policy pays for bodily injury to any spectator or player due to the negligence of the sports authorities. The policy pays for the legal cost of defending the indemnity action.
Authority’s liability insurance: This insurance covers liabilities that are not covered under general liability insurance, such as financial losses. Liability claims under the purview of suppression of rights are also covered under this policy. Such claims may arise when a player disputes termination or suspension by the authority. Sports authorities can also buy additional policies, such as general property, commercial insurance or workers’ compensation for broader insurance needs.