The latest event in 2024’s summer of sports is huge – the Paris 2024 Olympic and Paralympic Games (referred to collectively as the “Games”). Olympic and Paralympic events take place between 24 July and 8 September, with the opening ceremony taking place today, Friday 26 July.

The world will be watching as the organisers of the Games navigate the complicated and multifaceted task of managing the risks of hosting such a large sporting event.

Our specialist teams have been focused on the wide-ranging issues of insurance and managing risk during this summer – read more [here]

For the Olympics – the organisers, participants, commercial partners and, crucially, insurers – have a multitude of things to consider.

 

Terrorism

The Paris Chief of Police has reportedly stated that Islamist terrorist attacks are a top security concern throughout the Games. Fears were heightened when a man was arrested in May for allegedly plotting a terrorist attack on the Saint-Etienne football stadium during the Games. Historically, sporting events have been the target of terrorist attacks such as the pipe bombings at the Atlanta 1996 Olympics which killed two people and injured hundreds more, and the ‘Munich massacre’ at the 1972 Olympics where Israeli athletes were taken hostage by Palestinian militants, and nine hostages were killed.

Although Islamist extremists have been highlighted as a particular threat, in today’s world there are a range of potential triggers for terrorism concerns, currently including those relating to the conflicts in Russia / Ukraine and Israel / Palestine. Around thirty Russian and Belarusian athletes who have passed vetting checks proving they do not have military links and do not support the war will compete as ‘Individual Neutral Athletes’, without using national flags or anthems, and not contributing to any national medal tally. Israel will take part as a national team in the normal way.

Robust security measures have been taken to mitigate terrorism risks, including increased military and police presence and creation of ‘no fly zones’ due to concerns regarding drones. The French Government has also taken more extreme measures by teaming up with private AI companies and passing special legislation to allow heightened covert surveillance and data-gathering (including wiretapping and gathering geolocation, communications, visual and audio data).

Insurance can be obtained to provide cover for terrorism risks and increased socio-economic uncertainty, political divisions and global conflicts have increased both the cost and demand for this cover. Policies can also include cover for losses arising from public sentiment and the fear of terrorism causing loss of attraction for events.

 

Cyber Attacks

Cyber attacks are another major risk, as large and high-profile sporting events provide the opportunity and platform for both hackers and ‘hacktivists’ to cause disruption and exploit consumers.

Consumers will need to be vigilant to the risk of scam websites selling fake tickets and merchandise. For businesses, key concerns will include ransomware attacks targeted at systems used for the Games, disruption of broadcasting streams and malware attacks aimed at interfering with key infrastructure such as hospitals or travel. The financial, reputational and safety risks that such attacks could cause are clear.

Robust cyber security measures will be implemented, including staff training to avoid attacks, the use of blocking software to prevent infiltration and security features such as anti-virus software to stop viruses from spreading.

If the worst does happen, insurance cover for cyber risks will be a key part of the insurance programme for those involved in staging the Games, as well as commercial partners, sponsors and public sector organisations (such as hospitals) in Paris.

 

Civil Commotion, Protests and Strikes

Historically, France is prone to strikes and protests and there are various factors which could trigger such action during the Games. Firstly, the Games themselves are reportedly unpopular with Parisians who are facing obvious disruption to their daily lives as between 10 and 15 million tourists will flock to the city over the course of the Games. High profile events also often face criticism in respect of use of public funds which could be spent elsewhere.

Equally, although the Paris 2024 organisers are aiming for the Games to be the most sustainable Olympics yet, they are estimated to have a carbon footprint of around 1.6 million metric tons of carbon dioxide equivalent (mtCO2e) and sponsors such as Coca-Cola can attract criticism in their own right regarding, for example, plastic production. Groups like Just Stop Oil have targeted sporting events previously, including the 2023 Ashes Series.

All the current geo-political situations also give rise to risks of protest or civil commotion alongside the risk of unrest arising from the currently unstable and fractious political landscape in France.

Risk management plans will be in place to manage strikes or protest gatherings, aligned with the increased surveillance and security measures. The French Government has also announced that bonuses will be paid to civil servants servicing the Games in order to avoid the risk of strikes.

 

Injuries

The sheer scale and concentration of sporting contests at the Games, covering 32 sporting disciplines and over 300 individual sporting events, mean there are heightened prospects of on-pitch sporting injuries. Risks of injury off-pitch are elevated due to the significant amounts of spectators, fans, staff and athletes gathered in and around sporting venues. The worst case scenario would be a catastrophic event involving a large group of people, such as a stadium collapse.

The men’s football match between Morocco and Argentina on Wednesday highlighted just how easily disruptive behaviour in large crowds can escalate when cups, bottles and a flare were thrown onto the pitch, and there was a pitch invasion. These types of incident raise obvious risks of injury to players, officials, staff and spectators, as well as property damage if riots or civil commotion breaks out. Ultimately spectators were cleared from the stadium by riot police and there are no reports of injuries, indicating that processes in place for management of crowd disruption were effective.

There are also risks arising from the unique Paris 2024 opening ceremony, which will involve 10,500 athletes travelling 6km down the Seine in a flotilla of boats. This introduces risks arising directly from the use of boats (eg collision), as well as challenges in managing protest and terrorism risks in an external and dynamic setting.

Concerns have also been raised in a recent Rings of Fire study carried out by the University of Portsmouth about the risks of heat injuries to athletes including heat stroke (which can be fatal). The Games is projected to be the hottest Olympics on record and the report makes various recommendations to minimise the risks to athletes, including scheduling contests at cooler times of day, introducing breaks in play and developing new cooling technologies and clothing.

Heat-related risks will also impact staff and spectators and it remains to be seen what measures the organisers have put in place to mitigate these risks, and whether they will be sufficient, particularly for athletes who may push through the effects of heat illness in the pursuit of medals.

With high-net worth sports stars taking part and millions of spectators watching live or on broadcast streams, all stakeholders are exposed to significant financial and reputational risk. Any party with health and safety responsibilities will be required to carry out a comprehensive risk assessment, develop appropriate risk management measures to mitigate risks as far as reasonably practicable, and ensure those measures are appropriately enforced. Legal claims arising from injuries are typically covered by liability insurance policies.

 

Extreme Weather

As well as causing rising temperatures, climate change is increasing the frequency and severity of extreme weather events such as wild fires, floods and storms. This type of risk will be on the radar of the organisers of the Games who likely purchased contingency / event insurance to cover the risks of cancellation many years ago, during the planning process. Other stakeholders and commercial partners should also have obtained event insurance cover tailored to their particular needs and involvement.

 

To speak with our nationally and internationally experienced Sports Team about all aspects of the unique challenges and risks presented by large-scale sports events, contact imogen.mitchell-webb@h-f.co.uk