As the cost of living continues to climb, many families are re-evaluating how and where they spend their money including in youth sports. While most parents are willing to make sacrifices to keep their children in the game, unexpected life events can make it difficult for families to meet their financial commitments. When this happens, clubs are often left holding the financial burden.

Over the past several years, revenue protection insurance, also known as Player Registration Protection, has emerged as a practical solution for clubs to mitigate this risk. This type of coverage can reimburse unpaid or non-refundable fees when a player is unable to participate due to a qualifying event, such as injury, illness, or a parent’s job loss or relocation.

A Risk Management Tool That’s Gaining Momentum

Across the country, more clubs are exploring insurance options to help address these challenges. In fact, more than 80% of youth sports organizations recently surveyed indicated that some form of financial protection is now a key part of their risk management strategy.

“We utilize this insurance as an option for our parents,” says Steve Sack, owner of Michigan Elite. “It provides some form of revenue protection for both parties without us needing to raise our fees.”

Whether a club builds the cost into registration or allows families to opt in individually, the flexibility of this coverage makes it adaptable to a wide range of program models and budgets.

One of the key components of a Sports Fee Insurance by USSCI is the ability for the club to purchase a policy that protects all of your registration fee revenue or to allow parents to decide the level of protection they need. This option provides less protection, but when offered to your club members it does not cost your club a dime. Increasing your value for your club members is essential when consumer budgets get tight.

Helping Reduce Chargeback Risk

Another benefit clubs are seeing is the ability to push back on chargebacks. As refund requests have grown, so have payment disputes, often resulting in lost revenue, even when a no-refund policy is clearly outlined.

Some insurance providers, like VI Coverage, include opt-in or opt-out language during checkout that creates a digital record of what was offered to the family. If a refund is later denied and a chargeback is filed, the club has documented proof to support its case. This small but powerful step has contributed to a 76% success rate in fighting chargebacks for organizations using these systems.

Things to Consider
  • It’s not just for large clubs. Smaller clubs and independent teams have also successfully adopted this model.
  • Families appreciate the option. Especially when full payment is required upfront, the ability to protect their investment adds confidence.
  • It can be offered without extra admin lift. Some providers offer seamless integration with registration platforms, while others support manual enrollment with minimal effort.

Youth sports clubs face enough unpredictability as it is. Offering or even just exploring revenue protection insurance may be a way to support your families while reducing your own financial exposure.

The more tools clubs have to support sustainability, the better positioned they are to thrive in today’s changing economic environment.

To learn more, schedule a call with Shelly Pope

Learn more about VI Coverage.