The Super Bowl wake-up call
Think this year's wintry Super Bowl was risky? Moore faced a logistical nightmare after the National Football League postponed all games for one week following the 2001 terrorist attacks. It meant Super Bowl XXXVI in the Louisiana Superdome in New Orleans would have to be played one weekend late.
"One big problem: The National Automobile Dealers Association convention was scheduled for the Superdome that weekend, so the NFL had to pay them to move," he recalls. "Although that Super Bowl went on, moving it back was extremely expensive."
The unprecedented Super Bowl delay had two immediate effects on event insurance. Terrorism coverage -- then a little-used option -- became standard on most policies almost overnight. And small businesses anticipating huge revenues learned to purchase contingency insurance, lest their big payday turn to nay-day.
"It's a special form of business interruption insurance, because the standard form doesn't cover event cancellation," says Moore.
Some New York City bars and restaurants recently hedged their Super Bowl bets with such coverage.
"They just had to give us the estimated amount of revenue they expected to make, and if it snowed two feet or more, or if the Super Bowl was moved or canceled, they would receive that amount," Moore explains.