George,

We had a freak accident at Roebling Road. The front driver's side tire blew out - and because of that the car ended up on a burr came to a full stop and rolled over to play dead. Our policy was with Nationwide. They interviewed the track to see what we were doing there, they read through all the Driver Ed material (you know, this is not a race, no wheel-to-wheel, leave your ego home) and paid.

Sure enough they wanted us to change policies by the expiration date of that policy and exclude any track time for the car --

Meanwhile, someone on this board once suggested you getting your own insurance - and we took their advice. We picked up a 944S2 on ebay, but several thousand in it and have a track car that if it rolls over and dies... will be affordable.

Good luck, and if you find out any info for us, please share.

 

I am still working on the Ohio DE insurance program But not much to report yet. I think if you want affordable DE coverage it should be just that. For On Track damage only. No vandals, damage on the way to track. but I will say when I cross the hot pit I should be covered if I blow a tire or someone else blow a tire or if i Just flat miss the line. I also think it should be for the big one. the companies who have failed tried to do to much meaning low deductibles. If you get paint damage i think you should pull the money out of your pocket. When the loss gets above 5,000 then i would think insurance. However, If I could pick a higher deductible for a lower rate I would, as I just want protection from the Big one. Also the program we are working on is looking at paying as you go, pay a premium for each event. so if you do 3 a year you pay less then doing 10 per year. I will report when I get someplace.

 

Perhaps MY words should have been chosen more carefully, and I shouldn't have implied that you could potentially have a coverage problem.

In the situations you describe, you would be covered.

Believe me, we had an extensive discussion about this today, and I believe the language that gives the coverage are the words "unless caused by other 'loss' that is covered by this insurance."

So, if the damage is caused by a "collision" (which is defined as the covered auto's collision with another object, of the covered auto's overturn), the coverage is there. If the loss is caused by ragging out the car and blowing it up, the company probably isn't going to pay the claim.

In the situations you describe, (hitting the wall) you would be covered.

In the situation I described (redlining the car all day and blowing the engine up) then you would not be covered.

I'm sorry if my choice of words contributed to any uncertainty.
Thanks,
Anna

 

Go Anna!
No uncertainty here!

 

Honestly, these policies are not worth it!

What the DE guy (gal) wants is simply this: if the car gets damaged while on the track will the insurer pay? no ifs, ands, or buts. Exclusions, shucklusions are simply not worth it.

Anna - if you have have such a 'straight' policy then put it out. if not then good luck...

 

Bobby -
There is no such thing as an insurance policy (of any kind) with no exclusions. It just doesn't exist. Your personal auto policy has exclusions, your homeowner's policy has exclusions, and even your life insurance policy has exclusions. If you book a vacation and buy travel insurance, there are exclusions.

Selling insurance without exclusions sure would make for an easy job for me! (Ahh but a girl can dream.)

What we have is a reasonable product that will cover on track losses if certain conditions are met. That's as good as it's going to get from ANY insurer.

I can't tell you if this is the product for you or not. What I can tell you, is that there are many folks who have read the policy, and have read this forum, and are comfortable with what we are offering.

Again, I will be happy to answer specific questions and I will be happy to share the coverage details with anyone who wants them.

Thanks,
Anna

 

From my new business auto policy:

"W will not pay for "loss" to any covered "auto" while used in a professional or organized racing or demolition contest or stunting activity, or while practicing for such contest or activity. We also will not pay for "loss' to any covered "auto" while that covered "auto" is being prepared for such a contest or activity."

Hmmmm......

 

This is a pretty standard exclusion in both commercial auto and personal auto policies. This exclusion is what creates the need for on-track physical damage coverage.

The thing is, even the on-track coverage isn't going to cover everything. That's why it is important to read and understand the conditions and limitations.

 

I don't participate in any professional or organized racing or demolition contest or stunting activity so I guess I wouldn't be excluded.

 

Perhaps, but I would definitely check with your agent. If this were my policy, and I were participating in DE or similar events, I would be concerned with the words " or while practicing for such contest or activity." What would they define as "practice"? If they consider DE events as "practice", you could have a problem.

In most cases, if there is ambiguity, it is settled in favor of the insured. However, to be safe, I'd check with your agent.

 

Anna, if I'm driving my car on track and make a mistake or hit a spot of oil or coolant or something else and crash into a wall, will this policy pay the claim?
Can I get an Agreed Value policy?

 

This type of loss would indeed be covered under the terms of the policy, yes. (Assuming other conditions, such as it being a sanctioned event, the presence or sign-off of the instructor, corner workers, etc. are met)

Unfortunately, an agreed value basis isn't available at the present time. This may be something the carrier will consider in the future, but the way it is structured now the policy will pay the lesser of:

1) The stated value,
2) The actual cash value, or
3) The cost of repairs.

Thanks,
Anna

 

I used to be able to dream like that!

 

Anna, I haven't seen the issue of requiring an instructor sign-off addressed definitively. What if you are an instructor? Do you need another instructor to sign you off? That seems unlikely to me. I certainly wouldn't want that liability if someone came to me.

 

I read these things for a living, and while I am not giving legal advise, in Ohio you would have property damage coverage for a DE event, as a DE is not a "racing" "Demolition contest" (although it can turn into one) or "stunting activity" DE is not considered a contest if you will no one wins. The language you have to be real concerned over is the language that excludes activity on a track that one is inclusive of DE".

I am covered (on a auto policy) but what you have to consider is you most likely will only be covered once. that is what has me concerned.