HPDE / Track Insurance
Agreed Value HPDE / Track Insurance Frequently Asked Questions
What kind of coverage is this?
This track policy is physical damage only, covering the vehicle you own that you insure on the policy. The policy also provides secondary coverages to you for track cleanup and repair, transportation to get you home in the event your vehicle is undrivable and towing so your vehicle can be brought to a shop for assessment/repair. No on-track liability coverages are afforded. You are covered while on track, on the track grounds or while in the paddock.
What is HPDE? What is a track day?
HPDE is a High Performance Driving Event, where participants drive their own car on a race track with an instructor present in the vehicle. Driving techniques are taught to make the driver safer and more aware of their environment. Ex: look way ahead and be mentally prepared, the safest line through a turn, understanding vehicle weight transfer etc. Once a participant has enough track experience they may receive approval from the instructor to drive solo.
Doesn't my regular auto insurance already cover me for this?
Most personal automobile insurance companies have exclusions in their language that deny coverage for ''track events'', ''high performance events or schools'', ''HPDE type events'', ''preparing for racing'' etc. Years ago it was common to call track events ''driver education'' in part to distinguish the event from racing to insurance companies. By and large, that loophole has long since been closed.
What is an Agreed Value, and why do I care?
Regular auto policies are Actual Cash Value. The insurance company decides what your car is worth at the time of the loss. You won't always agree and that disagreement can turn ugly. Some HPDE/ Track policies sell Stated Value, which pays the "Stated Value" or the "Actual Cash Value" ... whichever is less. Stated Value insurance helps decide how much you pay. NOT what you get paid. Only an Agreed Value is guaranteed. If your car is totaled, you will receive the Agreed Value. Period.
Is my car eligible for coverage?
Most street-licensed vehicles valued at more than $5,000 and under $150,000 are eligible (see below for more details). Full-on race or race-prep cars are not eligible.
How much coverage can I buy?
This program is meant for the large number of typical enthusiasts who have a nice, street-legal automobile they want to take onto the race track for a day ... and who don't want to worry about being uninsured while enjoying the experience. This program is not meant for supercars worth enormous sums. To this end, coverage is limited to a $120,000 Agreed Value. Furthermore, an 80% coinsurance requirement is in effect, meaning that insuring a $350,000 car for only $120,000 is not an option. Given the 80% rule, if a vehicle's market value is in the range of $120,000 to $150,000, it may not be eligible. Vehicles whose market value exceeds roughly $150,000 will not be eligible in this program.
Can I cancel my policy before the event date?
Yes. Cancellations online prior to 12:01 AM the morning of the event will receive a full refund including the processing fee. Cancellations after that time will require proof from the organizer that your vehicle was not present at the track site and did not enter any part of the grounds. If this was met, you will receive a refund less the $25 processing fee. Should the event be cancelled by organizer, you will receive a full refund including the processing fee.
Will my vehicle be covered if the instructor drives my car?
Yes. Instructors are automatically included.
I'm bringing a friend. Can they drive it?
Yes. One additional person can be included free of added charge if they are listed on the application.
What if my event is not listed?
When you are on the event selection screen, click "My event is not listed below" in the upper left corner. Your application will include space to write up details of your event. The program underwriter will call the organizer and make arrangements to have the event added to the eligible events list.
Are all track events eligible?
Just as full-on race cars are not eligible, timed events and full-on amateur or club races are also not eligible. This program is meant for Drivers Education-type events.
How do I value my vehicle?
Your typical track car is not an older classic, so Kelly Blue Book, NADA Vehicle Guide or CPI Black Book can all be reasonably accurate. If you have modified the vehicle, those modifications affect the value. A good rule of thumb is to estimate half the value of initial purchase for a given mod and add this to your base vehicle value. Being automotive enthusiasts ourselves we are flexible within reason on vehicle values.
How Do I Pay?
Once your application is approved, you will be contacted and can pay by credit card online or mail-in check.
Whats the Catch?
Strictly speaking, there are none. This program was designed by insurance people who are automotive enthusiasts and avid track drivers. However, if you want to know what is excluded under the policy we'll tell you that right up front:
- The usual stuff excluding nuclear explosions or civil war. You'll have bigger worries if any of these occur.
- Intentional acts: Deliberately crashing the car into something or some one is not covered. This includes blatant disregard for the rules established by the event.
- Diminution of Value: Not covered. Just taking the car onto the track does that even without an accident.
"Nothing you do here today will increase your car's value"
-- NASA instructor addressing all drivers, Infineon Raceway, 2010