There is no doubt that racing – whether by auto, motorcycle, truck or other vehicle or animal – is a very hazardous sport. It is for this reason that insurance coverage is so important for the driver and track owner or sponsor.
Racing Car Driver Insurance
Known in the industry as AD&D Coverage, this insurance is designed specifically for the racing car drivers. Providing accident and health coverage for competing drivers, the companies that write this type of indemnity are most likely in the market for other sporting industries. In regard to racing car drivers, disability limits differ according to each individual insurer.
Vehicle Racetrack Insurance
If you have ever been part of the enthusiastic audience viewing a car, motorcycle or any other recreational vehicle race, you can well understand that there are significant risks to safety. Much like any highly populated sports event, there is the issues related to crowd control and bleacher hazards. In regard to third-party injury claims, vehicle racetrack insurance covers the owners and/or sponsors behind the event.
Specific scenarios in which a lawsuit may be initiated by an injured spectator include:
• When a grandstand or bleacher folds and falls
• When a member of the crowd is impacted by a participating car collision or accident
• When someone watching a practice session or actual race is hurt by debris hurled as a result of an accident
This particular coverage does not include protection for owners of vehicles or sports car drivers. Refer back to the above summary about racing car driver insurance for more on the topic.
Animal Racetrack Insurance
Prime examples of animal racetrack participants are horses and greyhounds, but other animals are also included. Significant risks include exposure to hay and any other combustible matter that is general part and parcel of the property. On the other hand of course, there is also the potential of damage to the involved animals as well as the possibility of damages caused by the animals to consider. The related liability factors are very much the same as any other sporting event. However, the fact that animals and employees and spectators are so close to each other, places an underscored hazard risk at the racetrack.
Then again, many of the racetracks have ongoing betting activity which clearly leaves exposure to criminal activity, defined by the indemnity industry as dishonesty exposure. When eateries are also a part of the framework, the related restaurant risk exposure and liquor liability exposure go hand in hand.
For more about related business insurance coverage, speak with an experienced independent agency that has your best interests in mind.