Report: Yankees have insurance for most of A-Rod’s dealBy
Via Ken Rosenthal & Wally Matthews: The Yankees are insured for at least 70% and possibly even 100% of Alex Rodriguez‘s contract should his latest hip injury be so severe that he’s unable to play going forward. There are conditions that would have to be met (so many days on the DL, etc.) before the insurance payouts are triggered.
A-Rod, 37, is still owed $114M over the next five years. I doubt this new injury is that debilitating — Brian Cashman said doctors informed him Alex would have zero restrictions following the procedure and rehab — but I guess it’s good to know the team is covered in case it is. A-Rod would still get paid and his salary would still count against the luxury tax, so the only way the insurance money would be reinvested in the team would be if the Yankees increase payroll back over the luxury tax threshold in 2015.