London insurers facing large claims bill after Taylor Swift concerts cancelled

Insurers are facing millions in claims after three Taylor Swift concerts in Vienna were scrapped due to a possible attack, a report by Reuters has claimed.

The shows were due to take place on the 8, 9 and 10 of August at the Ernst Happel Stadium, but were all cancelled because of the security threat.

A statement from organisers Barracuda Music said: “Due to confirmation by government officials of a planned terrorist attack at the Ernst Happel Stadium, we have no choice but to cancel the three planned shows for everyone’s safety.

“All tickets will be automatically refunded within the next 10 working days.”

Reuters said that around 195,000 fans were due to attend, with many travelling from abroad to see the singer.

Organisers of large events typically buy event cancellation insurance – the publication said much of this tends to be insured through the Lloyd’s of London market.

Lloyd’s website said that event cancellation insurance ”covers financial losses incurred if an event is cancelled due to non-appearance, damage to venue, bad weather, strikes or other causes”.

According to Reuter’s sources, Swift is popular among insurers as she rarely cancels concerts and that her success meant that most specialist event cancellation insurers in London would be involved in covering her tour.

However, following the cancellations in Vienna, the publication reported that insurers were facing millions of dollars in claims, although several providers would share out the hit.

Leigh Ann Rossi, senior vice president of sports and entertainment at broker NFP, said that a single concert claim will likely not affect the event cancellation insurance market unless it became a trend.

Swift is due to return to the stage at Wembley Stadium on 15 August.