Risk management and insurance in sports : assessing financial risk exposure and liability in the swimming discipline

Abstract

This study investigated the financial and liability risks associated with swimming organisations in Malta, exploring the current state of risk management practices and the role of insurance coverage within the discipline. Through qualitative interviews with commercial insurers and swimming organisations, the author identified key themes, including low demand for specialised insurance products, the reliance on coinsurance and reinsurance for risk management, and the limited knowledge among insurers of swimming specific risks. The interviews further highlighted the financial constraints faced by swimming organisations, and the need for better risk awareness and education within the sector. The findings suggest that, while insurers have expressed hesitation in providing insurance coverage specifically designed for sports organisations due to the limited demand and lack of profitability, there are opportunities for innovation. For instance, government-backed schemes and mutual insurance funds could encourage more comprehensive risk management strategies and better facilitate insurance solutions for swimming organisations. This research contributes to the broader understanding of sports insurance in Malta, while offering practical recommendations for insurers to develop specialised products that cater to the unique risks of the swimming discipline. Ultimately, this study aimed to bridge the gap between the swimming organisations’ insurance needs and the market’s current offers.