Glossary

Permanent Total Disability (PTD)

Permanent Total Disability refers to a condition resulting from an injury or sickness that permanently prevents the insured athlete from engaging in their sport or any other gainful occupation for which they are reasonably qualified by education, training, or experience.

In athlete disability insurance, a PTD benefit typically provides a lump-sum payment if the athlete’s career is permanently ended due to such an injury or illness.

Critical Illness

Critical Illness coverage provides a lump-sum payment upon diagnosis of a serious medical condition specifically listed in the policy—such as cancer, heart attack, stroke, or organ failure.

For athletes, this benefit ensures financial stability and recovery support in the event of a life-altering illness that significantly impacts playing ability or career continuation.

Loss of Value (LOV)

Loss of Value insurance protects an athlete against a reduction in future contract value due to injury or illness.

If an athlete suffers a covered condition that causes their projected draft position or contract offer to drop below a pre-determined amount, the policy will pay the difference in value, helping offset lost earnings potential.

Endorsement

In insurance, an endorsement is an amendment or rider that modifies, adds, or restricts policy terms or coverage.

In the NIL context, an endorsement also refers to a commercial agreement between an athlete and a brand under which the athlete promotes products or services in exchange for compensation—often in the form of cash, equity, or other consideration.

Collectives

Collectives are independent organizations—often formed by alumni, donors, and businesses—that pool funds to facilitate NIL opportunities for college athletes.

They help structure, fund, and manage deals such as endorsements, appearances, and content creation, while ensuring compliance with NCAA and state NIL regulations.

Purpose of These Definitions

These definitions are intended to clarify terms as used in athlete insurance, NIL agreements, and related documentation. Specific coverage terms, exclusions, and eligibility criteria are always determined by the actual policy language and applicable law.