The case for buying out Josh Norris this summer

[jbeck5]

Does anyone know why players don't insure their own contract?

Like, everything we do, we get insurance. Mortgage? There's mortgage insurance. Life? Life insurance. Employment insurance. Litterally everything.

It's too bad players can't insure their own contract, allowing teams to still buy players out, and then insurance would just pay out his contract. That way every player can be insured and players don't get screwed over. And if they do, it's their own fault for not getting insurance...kind of like us if we don't have insurance for any specific thing...

 

[Golden_Jet]

I expect him to come back next season, play tentatively and soft, get injured again during the season and go on LTIR. That could be the end of his hockey career. Hopefully his contract will be covered by insurance.

I doubt he would get insurance for the coming year. Not sure about last year, but rates would of been higher last year if qualified.

 

[aragorn]

Does anyone know why players don't insure their own contract?

Like, everything we do, we get insurance. Mortgage? There's mortgage insurance. Life? Life insurance. Employment insurance. Litterally everything.

It's too bad players can't insure their own contract, allowing teams to still buy players out, and then insurance would just pay out his contract. That way every player can be insured and players don't get screwed over. And if they do, it's their own fault for not getting insurance...kind of like us if we don't have insurance for any specific thing...

Is there a need for insurance if these contracts are guaranteed whether they are healthy or not? It's the club that needs the insurance in case the player is injured to recoup some of that salary.

 

[jbeck5]

Is there a need for insurance if these contracts are guaranteed whether they are healthy or not? It's the club that needs the insurance in case the player is injured to recoup some of that salary.

Like, buyout insurance where you might lose 1/3 or 2/3 of your contact.

 

[Micklebot]

Like, buyout insurance where you might lose 1/3 or 2/3 of your contact.

I'm not sure why someone would pay for buyout insurance, particularly when they negotiate in bonuses to help protect their pay from that. look at Korpisalo for instance, a buyout put him out around 5.3 mil over the remainder of his contract, but can sign a league min deal for those 4 years and recoup 3.1 of that. If you had bonuses that number comes down even further. The only real risk is that you're so bad that you can't get another contract.

 

[Stylizer1]

Has anyone thought about shooting him up with some Chuck Norris stem cells?

Seriously though I wonder if team doctors ever go that route.

 

[Golden_Jet]

Does anyone know why players don't insure their own contract?

Like, everything we do, we get insurance. Mortgage? There's mortgage insurance. Life? Life insurance. Employment insurance. Litterally everything.

It's too bad players can't insure their own contract, allowing teams to still buy players out, and then insurance would just pay out his contract. That way every player can be insured and players don't get screwed over. And if they do, it's their own fault for not getting insurance...kind of like us if we don't have insurance for any specific thing...

How much do you think that would cost a player like Norris, per year?

 

[jbeck5]

I'm not sure why someone would pay for buyout insurance, particularly when they negotiate in bonuses to help protect their pay from that. look at Korpisalo for instance, a buyout put him out around 5.3 mil over the remainder of his contract, but can sign a league min deal for those 4 years and recoup 3.1 of that. If you had bonuses that number comes down even further. The only real risk is that you're so bad that you can't get another contract.

I was specifically thinking that with not being able to get another contract in mind.

Like some 32 year old signs a 5x5 which everyone thinks is crazy...wouldnt that player be worried he might get bought out and lose millions?

I dunno, there's insurance for everything these days.

 

[Larionov]

Teams used to insure most of their contracts. Today, that insurance has become so expensive that they typically only insure the top two or three contracts on their roster. Only Lloyd's of London provides that kind of insurance, and with the rise of concussions and careers ending early due to head injuries you can just imagine what has happened to the premiums.

Also, one small correction - there is insurance for *almost* everything. If you can't get insurance for something, that is the marketplace telling you that the risk factor is too high to be properly measured and accounted for. For instance, if you are a deep sea diver or someone who works with explosives (demolition, rock blasting. etc.) absolutely no one is going to sell you a life insurance policy - no way, no how. You need to get coverage from your employer as part of your employment agreement, because no life insurer will touch it. Why? That's just actuaries running numbers, telling them that they will never collect enough premium to cover the losses...