The debacle at the Oval in the cricket test between Pakistan and England highlights the need for buyers of cancellation insurance to ensure they consult a broker.
JLT Sport has expressed doubt as to whether Pakistan's refusal to take the field after allegations of ball tampering is covered under standard cancellation insurance policies as offered by Lloyd's.
The standard Lloyd's GC[A] NMA 2779 template for creating cancellation insurance policies is quite restrictive and it is therefore important for brokers to negotiate closely with underwriters to ensure that cover is appropriate.
The five covered perils under cancellation insurance policies are Cancellation, Abandonment, Postponment, Interruption and Relocation.
