Insurance company placed Kalshi trades worth up to $3 million on LSU’s season, matching Lane Kiffin’s bonus

It took 72 seconds to insure LSU's national title hopes on the sports prediction market.

A third-party insurance company placed five trades on the prediction market Kalshi that could pay out $3 million if LSU wins the national championship this season, a Kalshi spokesperson confirmed to CBS Sports Tuesday. The number raised eyebrows this week when InGame, a publication covering sports betting and prediction markets, uncovered the trades, which match the exact cash figure LSU would owe coach Lane Kiffin in College Football Playoff bonuses if he wins the national title, according to a contract he signed in November.

The third-party insurance company, which Kalshi did not identify, purchased 837,500 contracts on LSU reaching the College Football Playoff, followed by contracts on LSU reaching the semifinals, the national championship game and winning a national title. Their last contract was on LSU reaching the quarterfinals. CBS Sports reviewed Kalshi's trade data and confirmed the five blocks in which the buyer paid $662,050. The other side of the trade put up $2,337,950.

Spokespeople for LSU did not immediately respond to CBS Sports' requests for comment.

Large athletic departments typically insure the bonus structure in coaches' contracts through third-party insurance companies. Insurers then…

Original source: https://www.cbssports.com/