What Are Some of the Most Unusual Insurance Claims Paid by Lloyds of London?
Lloyd’s of London is renowned for its willingness to insure unconventional and high-risk ventures, leading to some bizarre insurance claims. Here are some notable examples captured throughout the history of this renowned market.
Alien Abduction Insurance
A few policies have covered alien abduction with payouts made to individuals claiming they were abducted by extraterrestrial beings. These claims often arise from individuals alleging they experienced an encounter with extraterrestrial life and seek financial compensation. Such incidents, though rare and often met with skepticism, illustrate the unique nature of Lloyd’s of London.
Insuring Body Parts
Variety of entertainers and athletes have insured their body parts, making it possible to claim financial losses from injuries affecting these assets. For instance, Bruce Springsteen insured his vocal cords, while David Beckham insured his legs. These claims reflect the market’s willingness to address even the most specific risks.
Celebrity Impersonation and Income Loss
Insurers have paid claims for losses of income resulting from an impersonator’s inability to perform due to an accident or illness. These cases highlight the diversified nature of risk management and the types of unconventional coverage Lloyd’s offers.
Loss of Valuable Items
List of claims includes the loss of unique items such as a stolen Picasso painting or a missing trophy, both insured for their high value. The market addresses not only the physical safety of belongings but also the financial aspect of their loss.
Injury from Unusual Activities
Claims have emerged from accidents during extreme sports or unusual activities, like a skydiver injured after colliding with a flying object. Lloyd’s insures against such rare and unpredictable events, ensuring that its clients are protected in any scenario.
Historical Events and Predicted Disasters
Lloyd’s has insured against historical events like the sinking of the Titanic, and claims have arisen from such catastrophes or events that were predicted but did not materialize. This comprehensive coverage further showcases the breadth of Lloyd’s operations.
A Familial Insurance Quirk: Three Sets of Twins
A rather humorous anecdote involves a friend of the writer’s father insuring against fathering twins. Miraculously, the policy paid out three times, reflecting the extreme rarity of identical triplet pregnancies. The premiums decreased with each pregnancy, based on the logic that one set of twins is uncommon, but three sets are nearly impossible. This also demonstrates the mathematical basis of insurance, as the odds of such an event occurring are astronomically low.
Interestingly, after multiple pregnancies, the mother even petitioned for an annulment, which adds an amusing twist to the story. This case further highlights the unusual and varied nature of claims processed by Lloyd’s of London, ensuring that their clients have coverage for virtually any situation, no matter how bizarre.