The insurance industry suffered massive losses on both September 11, 2001 and in the prolonged economic downturn that followed. The result has been a change in how the industry operates, and that includes the insuring of baseball contracts. From the Madden article:
"(Insurance) companies will no longer insure player contracts of more than three years. In addition, insurance companies will not insure a player's body part that has been previously injured. They'll insure the player, but only for injuries unrelated to any previous injuries."
As a result, only six players have signed contracts for more than three years during the off-season: Javier Vazquez (Yankees), Ichiro Suzuki (Mariners), Miguel Tejada (Orioles), Keith Foulke (Red Sox), Bartolo Colon (Angels), and Vladimir Guerrero (Angels). Only the Angels appear to be taking any higher than normal risk here, and that can likely be attributed to new owner Arte Moreno's "new owner spending spree". It happens all the time in baseball as new owners attempt to show their fans how "committed" they are by taking some risk. It usually backfires, but only time will tell. Although I must admit, Colon has all the makings of "biggest 2003 off-season blunder." Can I place a bet in some sort of futures market here?
Madden's article is also full of insight on the Angels spending spree, Pudge Rodriguez, and more. It's worth the read.
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