Monday, December 20, 2010

It makes sense really.

(Harris County-Houston Sports Authority insured for bad publicity, Chris Moran. ChronBlog)
Insurance no longer just pays for damage. It pays for damage control.
If things go really wrong for the Harris County-Houston Sports Authority in the coming year, an insurer now will cover what the public agency spends on spin.
This new kind of insurance kicks in, according to a policy summary, when an event "has caused or is reasonably likely to result in adverse publicity."
Given the questionable financial state of the Harris County Sports Authority this could be an example of one of those weird public sector deals that makes sense.

Their debt service is increasing annually, their credit rating is falling faster than Congress' approval rating, and they just signed what seems, to some to be a sucker of a operating agreement with the Houston Dynamo......and we haven't even mentioned yet that they recently had to dip into their reserves.

If you really want a laugh, go read Moran's entire article to see some of the things the HCSA is now insured against.

What kind of sports shop are they running over there? " An authority employee is the victim of a violent crime at work"? Really?

1 comment:

  1. Wow - I bet the premiums on this policy were giNORmous!



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