LONDON, 9 January 2007 – A pay out to a Barnsley FC footballer with a career-ending injury has, once again, highlighted the necessity for professional footballers to take out personal accident and illness insurance, a trend which has filtered down from the Premiership. League Two defender Tony Vaughan worked with leading insurance broker and risk management consultant, Aon Sport, to clinch compensation within weeks of filing the claim and receiving his last wages.

While on loan to Stockport, Vaughan suffered an inflammatory knee condition (pes anserinus) after simply kicking the ball down the line during an away match to Shrewsbury at Gay Meadow and, ironically, minutes before the end of the match in injury time.  Independent medical tests confirmed that he would not be able to play professionally again. Luckily, Vaughan had previously taken out a personal accident and sickness policy, which provided insurance cover in the event of accidental death or permanent total disablement (due to accident or illness). The undisclosed pay out will help to offset his loss of future earnings.

The amount of the claim was a far cry from the record £2 million pay out awarded to ex-Tottenham Hotspur footballer Dean Richards a year ago, when doctors warned he could potentially suffer a brain haemorrhage if he continued playing.  However, Vaughan’s case sends out a strong warning to players in all leagues about the dangers of suddenly finding themselves without an income and the financial security of their career.

Vaughan admits that he briefly ceased insurance contributions when the worth of his contract decreased during the transfer from Nottingham Forest to Mansfield.  The player’s financial adviser David Picker, managing director of C. Alexander & Partners Ltd, believes that, to his credit, Vaughan listened to sound financial advice and shook off the attitude that ‘it will never happen to me’ to recommence the premium payments.

Vaughan commented: “The pay out has given me time to assess the next step, now my career in football has sadly ended.  There are still players who are put off by the insurance premiums, but it was well worth the cost – you can’t afford not to have the cover. I’d recommend any player, in any league, to seriously consider how they would financially cope if their career were to suddenly end and think about the benefits of receiving a lump sum payment.”

Steve Talboys, development executive for Aon Sport, has managed Tony’s insurance policy through to settlement of the claim.  He added: “There’s little you can do to prevent an accident or illness but you can protect yourself against loss of earnings.  It is even more crucial now to be prepared for an early career exit since recent pension changes mean that some players can no longer collect their benefits from 35 years old, but must wait until they are at least 50.”

David Picker, managing director of C. Alexander & Partners Ltd which provides financial advice to over 60 professional footballers, added: “Tony’s case should demonstrate to other footballers, regardless of their league, the essential nature of this insurance cover. Whether in the Premiership or League Two, personal accident and illness insurance is an integral part of their financial planning and wealth management. It needs to be a top priority alongside the management of their pension or property portfolio, for example.”

Notes to editor:
 

Aon Sport provides risk management advice to sports professionals, associations and clubs.

Steve Talboys was a former Wimbledon FC player and now advises over 250 professional footballers on their personal insurance policies.

About Aon

Aon Corporation is a leading provider of risk management services, insurance and reinsurance brokerage, human capital and management consulting, and specialty insurance underwriting. There are 46,000 employees working in Aon's 500 offices in more than 120 countries. Backed by broad resources, industry knowledge and technical expertise, Aon professionals help a wide range of clients develop effective risk management and workforce productivity solutions.

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