Trackday Insurance
Discussion
What's the opinion / advice on insurance for Trackday use.
I have an all inclusive package for my road going Caterham (road use including FOC Trackday Cover).
Historically I've only covered the Radical for storage and transportation accepting a total "on-track" loss as an acceptable risk.
Now that I may be moving a few rungs up the Radical ladder (more investment at risk) then I'm wondering what Insurance (if any) other trackdayers are taking out.
I have an all inclusive package for my road going Caterham (road use including FOC Trackday Cover).
Historically I've only covered the Radical for storage and transportation accepting a total "on-track" loss as an acceptable risk.
Now that I may be moving a few rungs up the Radical ladder (more investment at risk) then I'm wondering what Insurance (if any) other trackdayers are taking out.
Always a difficult one and the mind does get focussed (or is it more confused)as values soar.
For the most part, I've always considered a Radical on a trackday (note, not a raceday!) as pretty safe in terms of being master of one's own destiny/wallet - one is so much faster than most everything else that there's no need to put pressure on anyone - just sit back and wait for a 100% safe opportunity; the only time this gets undermined is the odd occassion when you find yourself on track with a few idiots - am I thinking old Skylines, Clio Clubs in effect testing rather than trackdaying etc? - when one can suddenly be confronted with absolutely totally s
te driving standards / cars suddenly appearing sideways on just as you open up the taps.
I think it depends on price, which you can then try to 'optimise' to see how it fits; eg by doing a package deal for say 10 trackdays, also by saying something like "OK I was prepared to total loss my previous car at £15K (whatever), this one is worth £40K (whatever), so I'm happy to have an excess of £15K in the knowledge that if it goes totally pear-shaped at least I'll pick up that extra value of £25K, so I'm no worse off than I would have been with the old car."
For the most part, I've always considered a Radical on a trackday (note, not a raceday!) as pretty safe in terms of being master of one's own destiny/wallet - one is so much faster than most everything else that there's no need to put pressure on anyone - just sit back and wait for a 100% safe opportunity; the only time this gets undermined is the odd occassion when you find yourself on track with a few idiots - am I thinking old Skylines, Clio Clubs in effect testing rather than trackdaying etc? - when one can suddenly be confronted with absolutely totally s
te driving standards / cars suddenly appearing sideways on just as you open up the taps.I think it depends on price, which you can then try to 'optimise' to see how it fits; eg by doing a package deal for say 10 trackdays, also by saying something like "OK I was prepared to total loss my previous car at £15K (whatever), this one is worth £40K (whatever), so I'm happy to have an excess of £15K in the knowledge that if it goes totally pear-shaped at least I'll pick up that extra value of £25K, so I'm no worse off than I would have been with the old car."
Sound advice there Trev.
The world of insurance has moved on a lot and has become increasingly segmented since I learned about it as an articled clerk in the '60s!
Insurers are businesses aiming to make a profit rather than charities. So, for events which are likely to occur frequently, they will look to recover through your premiums the value of your claims, their admin costs, their finance costs, a charge for them bearing the risk and a profit.
A professional risk manager would look to handle different risks through different channels - for frequent "low" value events they would operate on a pay as you go basis, for moderate cost but occassional events they would would self fund by building up a separate pool of money (eg for each event you do, put £x in a savings account) and for those rare but catastrophic events they would place cover with an external (insurance) market. So, you will find that major vehicle fleets will often pay for bumps and scrapes as they occur, total loss of their own vehicles will be coverd by a "savings" scheme such as a captive insurance co (though of course the tax advantages of doing so have largely disappeared) and the risk of their 48 tonner mowing down a bus queue will be placed with a commercial insurer.
Shimples!
The world of insurance has moved on a lot and has become increasingly segmented since I learned about it as an articled clerk in the '60s!
Insurers are businesses aiming to make a profit rather than charities. So, for events which are likely to occur frequently, they will look to recover through your premiums the value of your claims, their admin costs, their finance costs, a charge for them bearing the risk and a profit.
A professional risk manager would look to handle different risks through different channels - for frequent "low" value events they would operate on a pay as you go basis, for moderate cost but occassional events they would would self fund by building up a separate pool of money (eg for each event you do, put £x in a savings account) and for those rare but catastrophic events they would place cover with an external (insurance) market. So, you will find that major vehicle fleets will often pay for bumps and scrapes as they occur, total loss of their own vehicles will be coverd by a "savings" scheme such as a captive insurance co (though of course the tax advantages of doing so have largely disappeared) and the risk of their 48 tonner mowing down a bus queue will be placed with a commercial insurer.
Shimples!
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