Axa-led consortium pulls out of underwriting World Cup
An insurance consortium led by Axa has cancelled its contract to insure the 2002 World Cup.
FIFA president Sepp Blatter says last night they received the letter cancelling the cover for up to 944 million euros - that's £580 million.
Axa-Colonia, the leader of the consortium and Axa's German subsidiary, says it cancelled the contract because of the higher risk potential stemming from the error attacks in the US.
FIFA has already paid 18.5 million euro in premiums to cover the competition, which will be held in Japan and Korea.
Mr Blatter said: "Maybe they don't really want to find another insurance group to take their place, but just more money. They are profiting from the situation."
Axa was not immediately available to comment on the decision.
