After Wimbledon’s event organisers revealed that its 2021 tournament is not covered by pandemic insurance, another major tennis tournament – the Australian Open – has announced that its pandemic insurance coverage is set to expire soon.
Managed by Tennis Australia, the Australian Open is scheduled to be held in January next year in Melbourne.
According to The Age, the organiser confirmed it was trying to renew its insurance for tournament but that “pandemic coverage will not be viable to include for 2021″.
“Although we were able to have pandemic coverage as part of our policy over the past few years, the current situation with COVID-19 makes it prohibitive going forward, certainly in the short term,” said a spokesperson.
Insurers have been reluctant to offer pandemic coverage in a bid to limit significant losses since the onset of the novel coronavirus outbreak. This means that businesses looking to buy cancellation insurance for events around the world will not be able to get cover for the ongoing pandemic.
A report from Reuters citing Lloyd’s of London broker Tysers earlier this year stated that losses to event cancellation insurers are already likely to be more than $100m, although not all event organisers buy epidemic cover.