Olympic-sized Risks

Staging the Olympics is a big business, with revenues generated through television rights, sponsorship, ticket sales, corporate hospitality and souvenirs running into billions of dollars. Highly competent risk management efforts, often undertaken years in advance, are required to deal with such risks. Cancellation insurance can protect these financial interests from the moment when cities are awarded the Games until the Olympic flame is extinguished at the closing ceremony. Unique events such as the Games lend themselves to creating tailor-made coverage. Ground-up cover is common, but deductibles must be considered carefully. People continue to see the very largest global risk managed events as a cornerstone of contingency underwriting strategy, and after the successful Olympic Games in London, the focus will soon move to the upcoming events in Russia and Brazil for which Munich Re has already committed capacity.