Alex Rodriguez

Yankees could receive insurance funds if Alex Rodriguez can’t play

19 Comments

So, the best thing A-Rod can do for the Yankees now is not play?

CBSSports.com’s Jon Heyman reports that the Yankees have insurance on Alex Rodriguez’s contract that would cover 75-80 percent of his salary if he proves unable to play due to injuries.

Rodriguez is currently expected to miss 4-6 months following hip surgery in January, potentially leaving him sidelined until June or July.

The way insurance on baseball contracts typically works is that it doesn’t kick in unless a player misses the entire season. Whether that’s the case here is unknown, but it’s a pretty good case there won’t be any immediate windfall for the team.

Rodriguez is signed for five more seasons at a total of $114 million. If his body continues to break down, then perhaps the Yankees will recover big portions of his salary in future years. It might also have luxury-tax ramifications. Technically, A-Rod’s salary would still count against the tax even if he were injured and insurance was covering it, but if the Yankees dropped him from the 40-man roster, it no longer would.

That’s what happened with disappointing import Kei Igawa before his contract expired. Since he was no longer on the 40-man, his salary didn’t figure in for tax purposes. However, the Yankees also couldn’t pay someone to take him — which would have had luxury tax ramifications — and they essentially held him hostage in the minors until his contract was up.

Rangers sign Carlos Gomez to a one-year, $11.5 million deal

ARLINGTON, TX - OCTOBER 07:  Carlos Gomez #14 of the Texas Rangers looks on in the seventh inning against the Toronto Blue Jays in game two of the American League Divison Series at Globe Life Park in Arlington on October 7, 2016 in Arlington, Texas.  (Photo by Scott Halleran/Getty Images)
Scott Halleran/Getty Images
4 Comments

Ken Rosenthal of FOX Sports reports that the Rangers have signed outfielder Carlos Gomez to a one-year deal. Joel Sherman of the New York Post reports that Gomez will earn $11.5 million next season.

Gomez, 31, struggled with the Astros to a .594 OPS before the club released him in mid-August. The Rangers signed him shortly thereafter and were immediately rewarded. Gomez hit .284/.362/.543 with eight home runs and 24 RBI in 130 plate appearances through the end of the regular season.

As presently constructed, Gomez would likely take over in center field with Nomar Mazara handling left and Shin-Soo Choo in right.

Report: Diamondbacks close to signing Fernando Rodney

MIAMI, FL - AUGUST 24: Fernando Rodney #56 of the Miami Marlins celebrates after the game against the Kansas City Royals at Marlins Park on August 24, 2016 in Miami, Florida. (Photo by Rob Foldy/Getty Images)
Rob Foldy/Getty Images
1 Comment

Jon Heyman of FanRag Sports reports that the Diamondbacks are close to signing free agent reliever Fernando Rodney.

Rodney, 39, has been inconsistent over the past two seasons. This past season, he was lights-out with the Padres, posting a 0.31 ERA in 28 appearances. After the Marlins acquired him at the end of June, he struggled to a 5.89 ERA in 39 appearances.

Brad Ziegler, who closed for the Diamondbacks in the first half last season, went to the Red Sox in a midseason trade and is now a free agent. The Diamondbacks had six other relievers register a save, but only Daniel Hudson and Jake Barrett recorded more than one. Adding Rodney will give the club some stability in the ninth inning.