{"id":145768,"date":"2026-07-01T08:55:55","date_gmt":"2026-07-01T00:55:55","guid":{"rendered":"https:\/\/www.curtin.edu.au\/research\/?post_type=hdr-r-projects&p=145768"},"modified":"2026-07-01T08:55:55","modified_gmt":"2026-07-01T00:55:55","slug":"risk-mitigation-solutions-for-sports-event-cancellations","status":"publish","type":"hdr-r-projects","link":"https:\/\/www.curtin.edu.au\/research\/hdr-r-projects\/risk-mitigation-solutions-for-sports-event-cancellations\/","title":{"rendered":"Risk Mitigation Solutions for Sports Event Cancellations"},"content":{"rendered":"\n
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As climate-related risks intensify, the global sports industry, one of the world\u2019s largest entertainment sectors, is becoming increasingly vulnerable to financial disruption caused by extreme weather events. Sporting competitions today face growing exposure to floods, storms, heatwaves, pandemics, and infrastructure failures that can force cancellation, postponement, or interruption at short notice. Beyond disappointing fans, these disruptions generate major financial consequences for event organisers, venues, sponsors, broadcasters, hospitality businesses, transport providers, and local economies that depend heavily on sporting activity.
Traditional general insurance products have historically provided protection against risks such as property damage, theft, accidents, and liability. However, these policies are often insufficient for the specialised and interconnected financial risks associated with large sporting events. In many cases, weather-related business interruption losses are either partially covered or entirely excluded under conventional insurance arrangements. As climate uncertainty increases, insurers are tightening policy conditions, increasing premiums, and reducing coverage for event-related risks, leaving organisers financially exposed.
Recent events illustrate the scale of the challenge. The cancellation of the 2023 Formula 1 Emilia-Romagna Grand Prix due to severe flooding highlighted the growing vulnerability of outdoor sporting events to climate extremes in Italy. Concerns are also emerging regarding the future viability of Winter Olympic host cities because of declining snow and ice conditions. Furthermore, the COVID-19 pandemic exposed the fragility of the global sports ecosystem, resulting in suspended leagues, empty stadiums, and billions of dollars in lost revenue worldwide. In 2025, the temporary suspension of the Indian Premier League reportedly generated losses exceeding AUD 15 million per match, demonstrating the enormous economic impact associated with disrupted sporting events.
The financial consequences of cancellation extend far beyond the stadium itself. Organisers may lose ticket sales, sponsorship income, broadcasting revenue, and merchandising profits, while hotels, restaurants, caterers, transport operators, vendors, and thousands of casual workers experience significant income losses. Sporting events therefore represent complex economic ecosystems whose disruption can create cascading effects across multiple industries and communities.
This project addresses these growing challenges by investigating innovative insurance solutions for sporting event cancellation and interruption risks, with particular emphasis on parametric insurance mechanisms. Unlike traditional indemnity-based insurance, parametric insurance provides payouts when predefined measurable conditions are triggered, such as rainfall intensity, temperature thresholds, wind speed, or other objective indicators. Because payouts rely on transparent external data rather than lengthy claims assessments, parametric insurance offers faster, more flexible, and more efficient financial protection during periods of disruption.
The proposed research aims to develop advanced actuarial and risk-modelling frameworks capable of supporting sustainable event cancellation insurance products under increasingly volatile conditions. The study will explore how climate data, catastrophe modelling, probabilistic forecasting, and financial risk analytics can be integrated to improve the pricing, design, and effectiveness of event cancellation coverage. The project seeks to contribute both to academic research and to practical industry solutions that enhance resilience across the sports and entertainment sectors.<\/p>\n\n\n\n


Aim\u00a0\u00a0<\/p>\n\n\n\n

Specifically, the project aims to:<\/p>\n\n\n\n

    \n
  1. Develop a comprehensive understanding of the major risk factors affecting sporting events.<\/li>\n\n\n\n
  2. Design innovative insurance products capable of mitigating these risks.<\/li>\n<\/ol>\n\n\n\n


    Objectives\u00a0<\/p>\n\n\n\n

    The study objectives are to:<\/p>\n\n\n\n

      \n
    1. Establish data-driven approaches for estimating the probability of event cancellation and associated financial losses.<\/li>\n\n\n\n
    2. Develop parametric insurance products tailored to the identified risk scenarios.<\/li>\n<\/ol>\n\n\n\n


      Significance\u00a0<\/p>\n\n\n\n

      This research is particularly timely given the growing economic significance of sport globally and the increasing financial pressures imposed by climate change and systemic disruptions. Sporting events are no longer isolated entertainment activities; they are major economic drivers involving tourism, broadcasting, hospitality, government, sponsors, athletes, and communities. Developing effective insurance mechanisms to manage cancellation risks is therefore essential for improving the long-term sustainability and resilience of the industry.
      Ultimately, the project seeks to bridge the gap between emerging climate-related risks and the limitations of traditional insurance structures by developing innovative approaches to event cancellation protection. By improving understanding of climate-sensitive risks and designing adaptable insurance solutions, the research aims to support sporting organisations, insurers, policymakers, and communities in managing future uncertainty more effectively. The findings are expected to contribute toward more resilient sporting ecosystems capable of withstanding the growing challenges posed by climate change, pandemics, and other disruptive global events.<\/p>\n\n\n\n


      Ideal Candidate\u00a0<\/p>\n\n\n\n

      Ideal candidates will have strong quantitative skills in statistics, actuarial science, mathematics, or data science, with experience in statistical modelling and data visualisation using R or Python. An interest in sports, climate risk, and insurance innovation is essential. Applicants must meet Curtin University’s PhD enrolment requirements, and those from actuarial backgrounds may receive support to continue their professional examinations. <\/p>\n\n\n\n

      This project is open to Domestic applicants only.\u00a0<\/p>\n\n\n\n


      Internship<\/p>\n\n\n\n

      Through this project you will also have an internship opportunity.\u00a0\u00a0This project sits at the intersection of sport and insurance and has strong relevance for research end-users in the sector. The Western Australia Cricket Association and Cricket Australia have expressed interest in the project and will provide internship opportunities. Miller (https:\/\/www.miller-insurance.com), an insurance company with a particular interest in this area, has also indicated potential support. In addition, internship opportunities are available through the Actuaries Institute (https:\/\/www.actuaries.asn.au\/). We also have two ongoing PhD projects embedded within Fremantle Football Club, which could also provide internships of three months or more during the off-season.<\/p>\n\n\n\n


      Scholarship\u00a0\u00a0<\/p>\n\n\n\n

      If you are identified as the preferred candidate for this project, you may be considered for an RTP scholarship<\/a>. <\/p>\n\n\n\n


      Enquires and How to Apply\u00a0<\/p>\n\n\n\n

      For enquires about this opportunity contact Dr Ritu Gupta at\u00a0R.Gupta@curtin.edu.au<\/a><\/p>\n\n\n\n

      To formally apply submit an\u00a0Expression of Interest<\/a>\u00a0to Dr Ritu Gupta during the Central Scholarship round (July 1st – July 31st 2026)\u00a0<\/p>\n<\/div>\n","protected":false},"author":125,"featured_media":0,"template":"","faculties":[51],"hdr_types":[5487],"research_areas":[5298],"class_list":["post-145768","hdr-r-projects","type-hdr-r-projects","status-publish","hentry","faculties-science-and-engineering","hdr_types-rtp-scholarship","research_areas-data-science-machine-learning-and-ai"],"acf":false,"featured_image":false,"_links":{"self":[{"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/hdr-r-projects\/145768","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/hdr-r-projects"}],"about":[{"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/types\/hdr-r-projects"}],"author":[{"embeddable":true,"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/users\/125"}],"version-history":[{"count":0,"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/hdr-r-projects\/145768\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/media?parent=145768"}],"wp:term":[{"taxonomy":"faculties","embeddable":true,"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/faculties?post=145768"},{"taxonomy":"hdr_types","embeddable":true,"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/hdr_types?post=145768"},{"taxonomy":"research_areas","embeddable":true,"href":"https:\/\/www.curtin.edu.au\/research\/wp-json\/wp\/v2\/research_areas?post=145768"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}