Player Insurance...how does it work?

[Quo]

If a player, let's call him Cared Jowen, is injured prior to the season while playing in the AHL and would have reasonably been expected to pull in an NHL salary once the season began, would insurance cover some of the lost AHL salary or the NHL salary?

 

[Fugu]

No.

Also, if a player on a two-way is injured in the NHL, he cannot be demoted until cleared for active duty again, thus continuing to draw his NHL salary.

 

[Dave is a killer]

Does Blake Geoffrion get his full amount of the rest of his contract & get paid by the Blue Jackets for his new gig ?

 

[Stanley Cup]

Does Blake Geoffrion get his full amount of the rest of his contract & get paid by the Blue Jackets for his new gig ?

It is probably a disability insurance on a yearly basis. His injury likely made him uninsurable anyway, although he'd probably have been covered by a collective insurance managed by the NHLPA. So no I don't think he gets his full amount.

 

[Fugu]

Does Blake Geoffrion get his full amount of the rest of his contract & get paid by the Blue Jackets for his new gig ?

If a player retires from the league, he no longer receives any NHL compensation. The insurance on player contracts (and not all contracts are insured but typically the top 7) are there to protect NHL teams from the cost since they must continue paying the player and his replacement(s). Due to the high cost of insurance premiums, the league takes out the policy, and each team selects up to a certain number of contracts to insure.

I would be surprised if any player with an existing contract would indeed take the option to retire. Jiri Fischer was deemed medically unable to ever play in the NHL again. The Wings continued to pay him until the contract expired. (Subsequently, he was hired as a director of player development, iirc, but that's outside any consideration here.)

 

[Dave is a killer]

If a player retires from the league, he no longer receives any NHL compensation. The insurance on player contracts (and not all contracts are insured but typically the top 7) are there to protect NHL teams from the cost since they must continue paying the player and his replacement(s). Due to the high cost of insurance premiums, the league takes out the policy, and each team selects up to a certain number of contracts to insure.

I would be surprised if any player with an existing contract would indeed take the option to retire. Jiri Fischer was deemed medically unable to ever play in the NHL again. The Wings continued to pay him until the contract expired. (Subsequently, he was hired as a director of player development, iirc, but that's outside any consideration here.)

It is probably a disability insurance on a yearly basis. His injury likely made him uninsurable anyway, although he'd probably have been covered by a collective insurance managed by the NHLPA. So no I don't think he gets his full amount.

Thanks guys, as usual Fugu is quite possibly one of the most informative posters on this and or any forum on this site...

 

[Quo]

So in the event of injury the player is entitled to the entirety of his salary, whether that be in the AHL or NHL, but which salary he is drawing upon is dependent on which league he's injured in. Good to know. Thanks. Would that player I mentioned earlier then be entitled to hold the fact that he was injured in a lesser league, making lesser money, over his NHL club in future negotiations in an attempt to recoup some of his lost NHL earnings?

Do players take out private insurance policies? They must. To play elsewhere during the lockout they certainly had to. Someone like Crosby would have had to pay an astronomical premium I imagine.

 

[Mungman]

So in the event of injury the player is entitled to the entirety of his salary, whether that be in the AHL or NHL, but which salary he is drawing upon is dependent on which league he's injured in. Good to know. Thanks. Would that player I mentioned earlier then be entitled to hold the fact that he was injured in a lesser league, making lesser money, over his NHL club in future negotiations in an attempt to recoup some of his lost NHL earnings?


Do players take out private insurance policies? They must. To play elsewhere during the lockout they certainly had to. Someone like Crosby would have had to pay an astronomical premium I imagine.

Uh, no. That contract would be expired, why would it have a bearing on a new contract? Somewhat related, ask Alfredson how well that works (in this case expecting a payday on a new contract for playing out the $1M backdive season on the previous contract).

 

[Riptide]

If a player, let's call him Cared Jowen, is injured prior to the season while playing in the AHL and would have reasonably been expected to pull in an NHL salary once the season began, would insurance cover some of the lost AHL salary or the NHL salary?

No.

Also, if a player on a two-way is injured in the NHL, he cannot be demoted until cleared for active duty again, thus continuing to draw his NHL salary.

He's in the AHL Fugu. Lets say it happened last year during the lockout. I think he's screwed, and just gets his AHL salary.

 

[Fugu]

So in the event of injury the player is entitled to the entirety of his salary, whether that be in the AHL or NHL, but which salary he is drawing upon is dependent on which league he's injured in. Good to know. Thanks. Would that player I mentioned earlier then be entitled to hold the fact that he was injured in a lesser league, making lesser money, over his NHL club in future negotiations in an attempt to recoup some of his lost NHL earnings?

Do players take out private insurance policies? They must. To play elsewhere during the lockout they certainly had to. Someone like Crosby would have had to pay an astronomical premium I imagine.

While what you're saying is accurate, players on one-way contracts who are sent to the AHL continue to draw their NHL salary, e.g. they only have one salary level they can be paid regardless of league.

He's in the AHL Fugu. Lets say it happened last year during the lockout. I think he's screwed, and just gets his AHL salary.

Correct, and noted above, only players on two-way contracts have an AHL salary and an NHL salary. What they're paid depends on the league they're in at the time of the injury.