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FIFA establishes injury fund
World Cup 2006 - 03 July, 2006
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FIFA has arranged an insurance fund to compensate clubs if their players are injured during the World Cup.
The GBP 6.6 million fund has been raised by earmarking five per cent of available prize money. Cover is provided for "temporary total disablement", meaning permanent disablement and death.
The maximum benefit period for non-permanent injuries is set at 180 days, with payments designed, in most cases, to match the player's club salary. For permanent disablement and death, the benefit consists of a SFr 732,000 lump sum.
With temporary injuries, a cap of SFr12,200 a day - equivalent to just under GBP 40,000 a week - is being applied. Football's highest paid players would fall well short of covering their entire weekly wage bill.
FIFA justified this by saying that the designated amounts were settled on following analysis conducted with insurance experts. It says the sums paid out are in line with what an orthodox insurance policy would have provided.
"If you wanted to buy full cover for the highest player salaries, the insurance premiums would be so high it is questionable whether it would make sense," FIFA said.
The governing body also argued that the marketing power of top stars such as Ballack and David Beckham, the England captain, is such that clubs can derive commercial benefits by employing them even when they are not fit to play. This means, in effect, that clubs can cover a big part of salaries even when players are sidelined.
The most prominent player to have been invalided out of the tournament so far is Michael Owen, the Newcastle United and England striker. Owen sustained a ruptured cruciate ligament in his knee early in England's match against Sweden, and is expected to be out for at least five months.
The paperwork necessary to initiate Owen's claim was submitted to FIFA within the stipulated five-day period, but the club also is taking legal advice.
FIFA as yet has no way of knowing whether the funds will be fully absorbed by claims made during the tournament. If it proves insufficient to fully meet all claims, then the available sum will be paid out pro rata to those covered. If any money is left, it will be shared out among national associations.
The GBP 6.6 million fund has been raised by earmarking five per cent of available prize money. Cover is provided for "temporary total disablement", meaning permanent disablement and death.
The maximum benefit period for non-permanent injuries is set at 180 days, with payments designed, in most cases, to match the player's club salary. For permanent disablement and death, the benefit consists of a SFr 732,000 lump sum.
With temporary injuries, a cap of SFr12,200 a day - equivalent to just under GBP 40,000 a week - is being applied. Football's highest paid players would fall well short of covering their entire weekly wage bill.
FIFA justified this by saying that the designated amounts were settled on following analysis conducted with insurance experts. It says the sums paid out are in line with what an orthodox insurance policy would have provided.
"If you wanted to buy full cover for the highest player salaries, the insurance premiums would be so high it is questionable whether it would make sense," FIFA said.
The governing body also argued that the marketing power of top stars such as Ballack and David Beckham, the England captain, is such that clubs can derive commercial benefits by employing them even when they are not fit to play. This means, in effect, that clubs can cover a big part of salaries even when players are sidelined.
The most prominent player to have been invalided out of the tournament so far is Michael Owen, the Newcastle United and England striker. Owen sustained a ruptured cruciate ligament in his knee early in England's match against Sweden, and is expected to be out for at least five months.
The paperwork necessary to initiate Owen's claim was submitted to FIFA within the stipulated five-day period, but the club also is taking legal advice.
FIFA as yet has no way of knowing whether the funds will be fully absorbed by claims made during the tournament. If it proves insufficient to fully meet all claims, then the available sum will be paid out pro rata to those covered. If any money is left, it will be shared out among national associations.
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