From cables links: "The salary counts [towards the salary cap]. It doesn't matter whether insurance is paying it...The Board of Governors can exclude the salary of disabled players from the luxury tax, and typically does so." Cap space for Ron and Von? "And yesterday, the Kings learned that the league will grant them financial relief on the remaining two seasons on the contract of forward Shareef Abdur-Rahim, who has retired after years of knee problems. Because he hasn't played this season, the league will allow insurance to pay 80 percent of his remaining salary. So while he'll stay on the team's books, its out-of-pocket payments will be reduced significantly." "Raef LaFrentz's Expiring Contract. That thing got mentioned so many times it could have hired a PR staff and an agent. Here's the kicker: Raef can't play. He's a basketball invalid. He has been injured since something like 1973. Portland's insurance company repays the Blazers 80 percent of his salary, making him a cap figure and little else". This one's off topic but it's fun: "A seemingly minor three-teamer between Houston (landed Brian Cook and Kyle Lowry), Orlando (landed Rafer Alston) and Memphis (landed a 2009 first-rounder from Orlando). It happened because Memphis is hemorrhaging money and supposedly saved $2 million, even if it meant turning Lowry (who had been outplaying 2008 lottery pick Mike Conley for two solid seasons) into a meaningless pick in one of the worst drafts ever. " Bill Simmonds...
Sorry to bring up an old thread, but I was bored so I was did a little bit of research. I found a more conclusive article that provided a more detailed account of nba insurance policies. Turns out Insurance is not a game by game policy, but a player missing a certain number of games in a row. http://columbian.com/article/20081006/BLOGS05/810069983/-1/BLAZERBANTERARCHIVE If we insert "Tmac" for "Raef Lafrentz", the article reads And according to the chron sports guy on http://blogs.chron.com/nba/2009/07/joey_dorsey_welcome_to_the_nba.html What does this all mean? Les collects 80% of Yao's contract this year [explains how spending spree so far], and if we keep Tmac this year, Les gets to keep at least 10 million dollars from insurance. If we trade Tmac, you know it's gonna be a super trade because Les can easily say "No thanks, I don't want your trash, I'll keep my 10 Million, thanks". So, how does Chris Paul sound?
crap, IM noob, my reading comprehension sucks. the LaFrentz article says you start recouping AFTER the 41st game, nnot before. Hopefully Tmac has a different policy where its 80% for each game missed if the block of games is greater than X.
lets hope shemac will come back and play with some heart, we r better with her than without her now that yao and ron ron r gone
Thanks for the find. I'm assuming that if the insurance plan is the same, the 30 consecutive regular season games he has missed since last season will count towards the 41 game requirement, and that his contract will start being insured from the 12th game of this season onwards, till he comes back. His trade value might go up after the 11th game this season.
Those are fighting words around here!!!!! Don't you know you are not allowed to say anything positive about a Rocket's player named Tracy Lamar McGrady! Some how people forget he is still a Houston Rocket's player. He tried to come back last year from a knee injury and did not play well. But all of the other years, they had nothing bad to say about his play. They was on his tip! Since most of these haters know where he stay, I'm surprise they are not in front of his house with torches trying to run him out of town.
Now you want him to come back! Since Yao is out again, Yao has been out twice as much as T-Mac and I don't see you attacking Yao.
I don't see where the 2x comes in. Yao's missed 93 regular season games as a Houston Rocket. Mac's missed 113 regular season games as a Houson Rocket.
Wow, those numbers of missed games by TMac and Yao just reminded me how sick and tired I am of hearing about injuries. Holy shizz that's a lot of games. Yao: 22.7% of regular season games missed, and 30.3% of playoff games missed. Tmac: 27.6% of regular season games missed, and 39.4% of playoff games missed. Unreal. Fun fact: TMac's 13 points in 33 seconds? Oddly parallel to TMac's 13 missed games in 33 playoff games. Made me chuckle.
Most teams will insure their highest salaried players. One person (in the know) told me that it's usually Lloyd's of London that underwrites these sorts of deals and most teams spend several million a year just on contract insurance. If you have 4 guys making $50 mil, you're gonna insure them first since it's easier to absorb losing the play of low $$ players... and it would probably cost at least ten cents on the contract dollar to do so, probably more. It's a hell of a lot better than paying injured players $22 mil not to play. If they collect $4 mil from 30 teams, that's $120 mil in policies, where they might pay out about half of that in any given season.
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