Excerpted article was written By Omar Khan
We’ve all read the stories of celebrities and athletes insuring their body parts for incredible amounts. But sometimes, the risk being insured can be more interesting than the policy itself. And we may even be covered by a policy we never knew existed.
Thailand has become the tourist capital of Southeast Asia. Each year, approximately 16 million visitors arrive in the country looking for adventure, and most of them will have some sort of travel coverage to keep them protected. But what many visitors don’t know is that they already have a little insurance coverage, courtesy of the Thai government. See, Thailand has experienced more coups d’état than any other country in contemporary history, making large protests and the odd military takeover a relatively commonplace occurrence. As a result, the Thai government has purchased an insurance policy that promises to provide $10,000 to each tourist harmed in any political turmoil.
Some people say there’s no “official” evidence that any higher intelligence has ever made contact or visited Earth. Others disagree … um, adamantly. Whether intelligent life beyond us exists in the universe or not, over 30,000 people throughout Europe have purchased alien abduction insurance. Now, why they think they’d be selected for abduction over the other 7 billion people on the planet or how they know that kidnapping would be at the top of a visiting alien’s agenda is another story, but … good luck to them.
“If there’s something strange in your neighborhood, who ya gonna call?” Apparently, your friendly neighborhood insurance company, that’s who. The owner of the Royal Falcon Hotel in Suffolk, UK has taken out a policy to insure him against damages caused by his “supernatural guests.” The policy offers up to £1m in the event that his staff or customers are killed or hurt by the ghosts, poltergeists, or other abnormal phenomena that allegedly live on the property. Simon Burgess, the policy’s chief underwriting officer, told the BBC that, “There has been paranormal activity there, and we will treat any claims very seriously, and carry out our normal psychic investigation.”
We’ve all seen the almost-impossible, full-court free throw challenges at basketball games. And many golf courses offer amazing prizes to anyone getting a hole-in-one. Of course, nobody really expects anyone will actually win one of these unlikely challenges … nobody, that is, apart from us savvy insurance types.
Prize indemnity insurance is the most popular way of covering these highly valued promotions, with the risk carefully calculated and a series of rules explicitly laid out. Unfortunately, the rules are often overlooked. In fact, one golfer had his hole-in-one prize rejected because the prize indemnity policy for the course needed 2 witnesses and the tournament he was in could only provide one. Oh well, he still has a 1 in 12,000 chance of hitting another once-in-a-lifetime putt, right?
Picture this: you’ve built a wonderful midsize company with happy employees, good products, and a healthy bottom line. Then, out of nowhere, the manufacturing department wins the lottery jackpot. The next day, nobody in manufacturing shows up and the company goes from happy, lottery-playing workplace to failing to fulfill their orders and losing the credibility they spent years building. This worry is so prevalent with business owners in the UK that they can now take out a policy protecting them from lottery winners who decide to suddenly leave work after winning.