The Browns have finally admitted that the Deshaun Watson contract was a disaster. Within the perpetual storm cloud is a silver lining, however.
The contract, a copy of which PFT has obtained, contains an insurance addendum that allows the Browns to purchase coverage "in the event player is unable to perform the services required by his NFL Player Contract due to an NFL football-related or non-football related injury or death resulting therefrom."
For an injury occurring between the start of the 2024 offseason program and the start of the 2025 offseason program, the contract allows for $58.176 million to be recovered by the Browns.
The formula is as follows: $12.691 million in 2024 signing bonus; $1.21 million in 2024 base salary; and $44.274 million of $46 million in 2025 base salary.
Watson suffered a torn Achilles in Week 7 of the 2024 season. If the insurance is based on the portion of the season Watson played, they'd presumably get all of the $12.691 million from the 2024 signing bonus (which was more than $40 million), less than half of his $1.21 million 2024 base salary, and (if as expected he doesn't play in 2025) $44.274 million for 2025.
It's more than $55 million of the $230 million albatross contract. Which will reduce the salary-cap pain. Given that $135 million of the $230 million deal has yet to hit the cap, that'll make a huge difference for the Browns in the coming years.
If, that is, they actually collect on the policy. Insurance companies love taking money in. They hate paying money out. And with more than $55 million on the line, the insurance company's lawyers will be scouring the policy for any and all exceptions or exclusions that would justify a denial.
