Japanese businesses are taking advantage of weather derivatives – a recently introduced financial tool – to make sure they don’t miss out on any of the financial rewards of the 2002 FIFA World Cup.

Since next month is usually a wet one in Japan, hotels, restaurants and bars have purchased weather derivatives. Japan’s fifth-largest banking group has targeted three of the 22 towns hosting teams over the next month.

The products called the “Japan Pack”, “England Pack” and the “Tunisia Pack” are tailor-made for teams settling in the towns most likely to need this type of cover. Under the Japan Pack, Daiwa promises to pay the insured more than $7000 for every day between May 28 and June 14 that it rains more than 10 mm. However, it must rain for at least three days during that period for a claim to be made. Premiums are around $10,000.