Injuries are inevitable in a collision sport, like football. NFL teams are increasingly trying to mitigate this risk through the purchase of insurance policies on NFL player contracts as salaries continue to grow.
The 2006 NFL Collective Bargaining Agreement first introduced the concept that teams could get salary cap credits for receiving insurance payments when players are injured. The most crucial requirement is the amount covered by the policy must be specified in the player contract. The credit is given to the team’s salary cap in the following league year. The salary cap relief provided is considered as a
Agent’s Take: How much salary cap relief do insurance policies on NFL player contracts provide teams?
