I just got my new insurance policy and it looks like they will not cover driving events of any kind. I guess I need to swtich.
What do you guys use that will cover Track events?
What do you guys use that will cover Track events?
Insurance that covers track events?
- Thread starter NetViper
- Start date
I checked with my State Farm agent and he said no way. Then when I made him check into it with the underwriters, he came back and said they would cover a claim. Off the record, he said that they would cover it once and then would drop me, even though I have been a customer for 15 years with no claims.
You should get track insurance from the track when you pay to race on the track.
Organized racing events are excluded acts on your auto policy.
I do think they would provide coverage though; it is all how it is termed for the event you are participating......see how the even I am attending is worded..."...This would be strictly a "driving-event" vs. any kind of competition or actual road racing thing. The majority of people who will ultimately participate in this event will be novice drivers with expensive cars that need to come home in one piece. All passing would be done via acknowledged "wave-ons" as to promote a very safe environment for all."
Your insurance company will have to quality two things not to afford you coverage, 1) is the event organized, 2) is it racing? In the above description, they would have to provide coverage b/c it only meets 'organized', not 'racing'. :biggrin:
Insurance companies will afford coverage for almost anything, in fear of being sued by an insured for 'bad faith'. State Farm lost a case years ago, and it cost them close to $130,000,000 (still in court last I heard).
Good luck.
JM
Organized racing events are excluded acts on your auto policy.
I do think they would provide coverage though; it is all how it is termed for the event you are participating......see how the even I am attending is worded..."...This would be strictly a "driving-event" vs. any kind of competition or actual road racing thing. The majority of people who will ultimately participate in this event will be novice drivers with expensive cars that need to come home in one piece. All passing would be done via acknowledged "wave-ons" as to promote a very safe environment for all."
Your insurance company will have to quality two things not to afford you coverage, 1) is the event organized, 2) is it racing? In the above description, they would have to provide coverage b/c it only meets 'organized', not 'racing'. :biggrin:
Insurance companies will afford coverage for almost anything, in fear of being sued by an insured for 'bad faith'. State Farm lost a case years ago, and it cost them close to $130,000,000 (still in court last I heard).
Good luck.
JM
johnny010 said:
I don't know what track you are referring to but I don't know of any track that provides insurance to individual drivers.
As for the coverage issues, I just lost my coverage as well as my carrier finally caught onto the "HPDE loophole" and now excludes driving on a track for any reason. This has been getting phased in with most carriers over the last few years and I would venture a guess that all carriers now exclude what we do except for those that write specifically for track events only.
here is a quote of the auto policy for the company I work for...
"Exclusions - Read the following exclusion carefully. If an exclusion applies, coverage will not be afforded under this part ii (a)
5. resulting from any pre-arranged or organized racing, speed, or demolition contest, stunting activity, or in practice or preparation for any such contest or activity;..."
"Exclusions - Read the following exclusion carefully. If an exclusion applies, coverage will not be afforded under this part ii (a)
5. resulting from any pre-arranged or organized racing, speed, or demolition contest, stunting activity, or in practice or preparation for any such contest or activity;..."
I successfully obtained coverage from American Family Insurance for an NSX-destroying incident at an HPDE at Road American in September of 2005. The policy excluded racing and preparation for racing. I was able to convince them that a non-timed, non-competitive, driver eduction event with instructors and a classroom component did not meet the definition of the exclusion. Any ambiguity in an insurance policy is to be construed in favor of the insured and coverage.
As a caveat, however, although I was polite and approached them as an insured and did not threaten them, they were aware of my status as an attorney and my ability to file a declaratory judgment and bad faith action against them for nothing more than filing fees. They paid out a fair value for the car, have not dropped me and my insurance has only increased marginally. YMMV.
As a caveat, however, although I was polite and approached them as an insured and did not threaten them, they were aware of my status as an attorney and my ability to file a declaratory judgment and bad faith action against them for nothing more than filing fees. They paid out a fair value for the car, have not dropped me and my insurance has only increased marginally. YMMV.
johnny010 said:
If litigated, I believe that policy language would not exclude coverage for an incident at a driving school that was truly a driving school as opposed to a lapping day or time trial. A driving school is not racing or practice or preparation for racing.
American Collectors Insurance has a policy for HPDE. It is available in 13 states only. Go to AmericanCollectorsIns.com and click on programs to see if its available in your state.
DVDoughboy said:
It is the policy language that will control in the event of an incident.
Track Event? I have no idea what you're talking about. However I do attend Drivers Education and Instruction days on a frequent basis :wink: ...I am a much safer driver after having done these Drivers Ed classes. :biggrin:
MLmotorsport said:
That is my take as well. Some of the PCA sponsored events take attendance during the classroom sessions even for highest run group and instructors. I view that particular practice as potentially useful in the event of an "incident" during one of the drivers ed sessions.
CCMDoc said:
The forms and informational/instructional materials can also be helpful here. As part of my claim, I submitted some of the documentation from my BMW CCA event explaining the purpose and nature of the HPDE.
Dave, I use Joe McLaughlin at Sherrill and Company here in Savannah and when I asked about it he said I would be covered. As long as the event is not timed or gives trophys or other recognition it is covered. Give him a call since you live here also. he's a good guy I went to high school with him and he has given me good advice over the years.:biggrin:
As an event organizer myself (an open track / school event -- with instructors, classroom time, etc.), I think I can offer up a little help with the legal issues in this matter as well. The insurance secured by an organizer, whether it be directly from the track or from an independant underwriter, covers the TRACK. So, for instance, if you run into a building or something, the insurance covers the track's loss of the building, but not you. If the track makes a gross negligence error and you can prove that you suffered because of it (say, for instance, you trip and break your leg in the paddock), the insurance will cover that.
But as the official NSX doctor of jurisprudence, brahtw8 pointed out, your insurance should cover you for untimed, non-competitive events unless it is specifically excluded in your contract. Johnny010's policy reads exactly as mine (www.progressive.com) does. I once called up the insurance company (anonymously, just in case!) and asked them about this to make sure of the policy language before I recommended a friend. The folks there claimed that they would not cover the car on a racetrack no matter what type of event that you are involved in. However, words over a telephone won't hold up against a legal contract in court . . . at least, not as far as I can tell. So my suggestion, to add to others, would be to look for a policy that is stated like johnny010's and my contract are. I don't see how they could not cover you if the language reads as those contracts do.
PLEASE correct me if I am wrong -- this is an area I'd hope we can all be as clear as possible on, given our 'addiction.' As an aside, one of our regular drivers happens to own an insurance company. If worse comes to worst, I will go to him and sign up. If anyone wants his contact info, just let me know and I'll post it here. When I spoke with him at our event yesterday, he really seemed to know his stuff.
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But as the official NSX doctor of jurisprudence, brahtw8 pointed out, your insurance should cover you for untimed, non-competitive events unless it is specifically excluded in your contract. Johnny010's policy reads exactly as mine (www.progressive.com) does. I once called up the insurance company (anonymously, just in case!) and asked them about this to make sure of the policy language before I recommended a friend. The folks there claimed that they would not cover the car on a racetrack no matter what type of event that you are involved in. However, words over a telephone won't hold up against a legal contract in court . . . at least, not as far as I can tell. So my suggestion, to add to others, would be to look for a policy that is stated like johnny010's and my contract are. I don't see how they could not cover you if the language reads as those contracts do.
PLEASE correct me if I am wrong -- this is an area I'd hope we can all be as clear as possible on, given our 'addiction.' As an aside, one of our regular drivers happens to own an insurance company. If worse comes to worst, I will go to him and sign up. If anyone wants his contact info, just let me know and I'll post it here. When I spoke with him at our event yesterday, he really seemed to know his stuff.
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