F. Scott Fitzgerald once wrote, “Let me tell you about the very rich. They are different from you and me.” Thanks to Eric Gilkey of PropertyCasualty360.com, we learn that the Insurance Issues for the Rich and Famous are very different from yours and mine. In an amusing slide show, he looks at insurance issues that have surfaced related to a variety of celebrities – Charlie Sheen, Tiger Woods, Lindsay Lohan, Michael Jackson, and others.
While some of these scenarios are pretty remote from the issues that face most businesses and individuals, there are a few things to be learned. Business owners take note and wedding planners alike should take note of event cancellation insurance. And while the reputation risk management issues discussed relate to celebrity endorsers run amuck, every business has some exposure related to reputation management.
Insuring body parts?
It’s hard to talk about celebrities and insurance without discussing all those stories you hear about film and rock stars insuring some part of their anatomy for millions of dollars. Many of these reports are not true – contrary to the online rumor mill, Tom Jones did not take out a multi-million dollar policy for his chest hair. At Slate, Daniel Engber talks about body part insurance and notes that while some cases are true, many are not. He speculates that some of these false stories may have been circulated by public relations staff eager to get some buzz for their clients. We featured one jokey insurance product that was a cute promotional stunt.
Whether it’s body parts or other celebrity-related risks, Lloyds of London holds the crown for some of the weirdest insurance policies ever issued.