Motorsports & Racing Insurance Coverage: Who Insures Race Car Drivers and Their Cars?

Car racing, while exhilarating, is a dangerous sport. At speeds of over 200 miles per hour, even the most experienced, skilled drivers can and do crash their cars. Because of the speed at impact, the damage to the vehicle is severe and drivers can get badly injured. 

The cost of repairing the car and the driver’s medical bills can be extremely high. So the driver and the racing car must be insured. 

However, insurance companies won’t insure drivers or their cars under standard policies because of the risks involved. Also, high risk auto insurance is not an option, as this insurance type is typically for regular drivers with bad driving histories, new drivers, and older drivers likely with symptoms of old age like poor vision.

Insurance for Race Car Drivers

Given the risky nature of motorcar racing, many stakeholders are required to buy insurance that will cover the drivers. In some cases, insurance companies sponsor the driver and view them as good investments for publicity. 

Despite their risky profession, race car drivers are only at risk of being injured during races. Besides that, they are viewed as low risk because they’re in good health, as the profession requires them to be in a good shape.

Depending on the terms of the policy, the driver may only be covered under a stakeholder’s insurance during a race. So if they are injured while practicing or doing a test, they may not be covered. For this reason, drivers can buy their own personal injury and medical insurance to compensate them for injuries they sustain when not participating in an official race. 

Unlike the pit crew and other team members employed by the team, drivers are independent contractors and often, depending on the state they’re based in, may not be entitled to worker’s compensation or a disability payout if they’re injured during a race. Many drivers, therefore, choose to buy life insurance or liability to cover themselves if they’re hurt while working. 

Insurance for Racing Cars

Race car drivers can’t buy insurance for their racing cars from an ordinary insurance company. Instead, they will need to insure their vehicle with an insurance company specialized in motorsport insurance. 

Racing cars need to be covered for:

  • On-Track Damage

Racing cars are most at risk of getting damaged when driving on a track during a race, even though the car is only on the track for a short time. When calculating the premiums, several factors are taken into account, including the number of races the vehicle is booked for and the driver’s track record.

  • Off-Track Damage

The car also must be insured when it’s in transit to the track and in storage. Off-track cover may also include damage to the engine and other parts of the vehicle, damage caused by natural disasters, theft, or if the car is vandalized. 

  • Equipment and Tools

The equipment and tools used to repair and maintain the car and the trailer used to transport it to and from tracks are usually very expensive. So many drivers buy insurance to protect them if they are stolen or damaged. 


The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of  As an Amazon Associate we earn from qualifying purchases for some links and banners that are being displayed on


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