Personally I disagree with that point. I feel that tournaments that can't comply with minimum safety standards and organisation shouldn't be insured.
I think that tournaments on 20mm jigsaw mats on tennis courts called 'the intergalactic bjj championships of the UK' are bad for the sport.
What if someone is badly injured because the mats area is too small or the mats too thin? Is that good for the sport? Does it reflect well on us as a whole?
What if there is inadequate (if any) medical provision? Is it good for the sport to see a doctor operate on himself on the mats?
IMO insure first and ask questions later is a poor start, the logical order is to set out some guidelines and make sure tournaments adhere to them if they want GAA insurance.