Jameis Winston is back in the news again, and it doesn't involve crab legs. According to ESPN and various sports outlets, Florida State University is paying a portion of FSU Quarterback, Jameis Winston's disability and loss of value Insurance policy.
According to these outlets, Jameis Winston purchased a $10 million disability insurance and FSU will pay a premium between $55,000 and $60,000 to secure the policy.
This news often leads to questions regarding topics we are not too familiar with, such as what is loss of value insurance? What is the difference between loss of value policy verses disability?
We don't blame you for not being privy on these exciting topics. Therefore, the Pettineo Agency would like to provide you with a quick and easy explanation of the loss of value insurance policy.
Lost of Value Insurance:
A loss of value policy protects athletes should their draft stock slip due to an injury or illness . The policy will be paid if the student athlete is drafted below his or her projected position. An insurer will solicit the opinion of draft experts and will "grade" the insured student-athlete. Loss of value policies will state how far the insured student-athlete needs to fall before benefits are due.
Difference between a Loss of Value Policy and Disability:
Unlike traditional disability coverage, loss of value insurance does not require a career-ending injury before policy benefits are due. However, while loss of value insurance can provide broader coverage than traditional total disability insurance, it is also much harder to come by. Athletes (and in this case University's) will have to work with a private insurance agency since they are not available through the NCAA.
To learn more you can visit our website atwww.pettineo.com.
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