Former Oregon cornerback Ifo Ekpre-Olomu is in line to collect $3 million thanks to a loss of value policy that was purchased for him by the University of Oregon at the start of last year's football season.
When Oregon bought the policy at the start of last season, the insurance company projected that Ekpre-Olomu would be called as the No. 12 pick if he didn't get injured. But the consensus first-team All American, who tore his ACL in December in practice while preparing for the College Football Playoff, couldn't perform at the combine or at a pro day due to the timing of the injury.
Ekpre-Olomu started collecting money when he wasn't selected as the first pick in the second round on Friday night and was put in line to collect the full $3 million insured when he completely fell out of Round two.
The $3 million will absorb the fall for Ekpre-Olomu, but it won't make up for everything. If he were picked at No. 12, he would have collected about $10.5 million in guaranteed money. Falling out of the second round means he'll make less than $1.5 million guaranteed.
Backed by the insurance policy, Ekpre-Olomu decided to come back for his senior season and was ranked as the 23rd-best prospect in the draft by ESPN's Todd McShay at the time of his injury.
Prior to the 2014 season, no school had paid for the insurance policies of its football or basketball players. After Texas A&M paid for the insurance policies of its players using funds from the NCAA Student Assistance Fund and it was proven to be permissible Oregon and others followed suit.
The school paid for the policy of five of its players and insured them to collect if they either were hurt and could never play football again or if they simply slipped in the draft as a result of injuring themselves. Besides Ekpre-Olomu, the school paid for the policies of quarterback Marcus Mariota, who was taken second in the draft by the Tennessee Titans, defensive end Arik Armstead, taken 17th by the San Francisco 49ers, center Hroniss Grasu and defensive end DeForest Buckner.
A source with knowledge of Ekpre-Olomu's policy, written by North Carolina's International Specialty Insurance, came with a $3 million total disability policy as well as $3 million in lost value, cost the school a premium of about $40,000.
No college player who has had a loss of value policy has ever collected. If Ekpre-Olomu fills out the claim, and there are no issues, he could be the first.
USC wide receiver Marqise Lee had a loss of value policy when he fell to 39th in last year's draft. He said he is owed $4.5 million by Lloyd's of London and has sued them to collect it. Lloyd's has until late June to respond to the court.