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How NFL Teams Are Using Insurance to Create Cap Space
Manage episode 440702838 series 2558802
When Aaron Rodgers was injured four snaps into his tenure as the new quarterback of the Jets, he not only missed, virtually, the entire 2023 season, but cost the team up to $22 million dollars in lost production. A fate the Jets could have mitigated by taking out an insurance policy on Rodgers.
Rodgers' situation is one that stands out amid a trend of teams buying insurance policies on star players around the NFL. The practice — which is becoming more popular as the sums of guaranteed money in players’ contracts increases — can soothe the bite of losing a player to injury, while also creating cap space for strategic front offices.
Today, Senior ESPN reporter Kayln Kahler breaks down how these policies actually work, and explains why some teams have bought into the trend, while others opt out.
Learn more about your ad choices. Visit megaphone.fm/adchoices
1290集单集
Manage episode 440702838 series 2558802
When Aaron Rodgers was injured four snaps into his tenure as the new quarterback of the Jets, he not only missed, virtually, the entire 2023 season, but cost the team up to $22 million dollars in lost production. A fate the Jets could have mitigated by taking out an insurance policy on Rodgers.
Rodgers' situation is one that stands out amid a trend of teams buying insurance policies on star players around the NFL. The practice — which is becoming more popular as the sums of guaranteed money in players’ contracts increases — can soothe the bite of losing a player to injury, while also creating cap space for strategic front offices.
Today, Senior ESPN reporter Kayln Kahler breaks down how these policies actually work, and explains why some teams have bought into the trend, while others opt out.
Learn more about your ad choices. Visit megaphone.fm/adchoices
1290集单集
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