For anyone that’s ever participated in a DE (Driver’s Education) event or other High Performance Driving Event (HPDE) with your Porsche (or any car for that matter) you may or may not have been aware of the fact that your typical automotive insurance policy most likely has exclusions for these type of affairs. In fact, most auto insurance underwriters have very broad restriction on using your Porsche on a “surface used for racing”, “use at a racetrack”, “use in a high performance driving event”, etc. Hopefully, you are already aware of this and know the risk you take when you participate, or have not yet learned the hard way.
In the past, insurance for Driver’s Education programs, and other HPDEs, was difficult to obtain; if it could be had it was usually quite costly. Recently, the Porsche Club of America announced a new member benefit in the form of discounted HPDE Insurance through a partnership with Lockton Affinity.
This new program provides one-time insurance for each event at an agreed upon value. Obtaining a quote is as simple as visiting the Lockton web-site and entering an agreed upon value into the form provided. PCA members can deduct 10% from the quoted price. As an example, I looked at a policy with a face value of $50,000. According to the Lockton site, cost for this policy was $330 before the 10% member discount which translates to less than $300 for a PCA member.
Other Benefits of the HPDE Insurance Program:
- Limited Exclusions – unlike other plans, we will cover you for structured HPDE events.
- No Appraisal Required – you know how much your vehicle is worth, so we let you determine the value and save you the expense of an appraisal.
- Coverage for Vehicle Modifications – you can choose to list and insure the modifications you’ve made to your vehicle.
- Automatic Extension for HPDE Instructors – the policy follows your vehicle and is automatically extended when your HPDE Instructor is driving it. You can also add a 2nd driver for no additional charge.
- Small Deductible – when you do have a claim, only a small 5% ($1,500 min.) deductible applies.
By no means is this an endorsement for Lockton, as I have yet to use their services, and if I ever do hope not to have to put them to the test (nor am I affiliated with them in any way). However, I will assume that the PCA has vetted them as an underwriter and they are a solid company to do business with.
What I’m most curious about, is what other companies offer this type of service? I’m constantly being asked for recommendations about HPDE Insurance and up until now I’ve only had one other company to provide people. I would like to create a resource center here on FlatSixes.com, so if you know of other carriers or underwriters who provide this type of coverage, please let me know by commenting below?
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[Source: PCA]
View Comments (3)
Ken, while I agree it's not inexpensive, neither would totaling your daily driver if you are unfortunate enough to stuff it hard enough. For those that have dedicated track cars, I think you definitely need to weigh the value of the car vs the cost of the insurance and the peace of mind it provides.
Most PCA DE events are very well run and go off without incident. However, I'm hearing more and more horror stories about mixed Marque events with more and more incidents. Insurance is a hedge against total catastrophe. You will never complain about the cost if the time comes that you need it and you will never kick yourself harder if you do need it, could have had it, but didn't buy it.
As for covering blown motors, that would be great, but I'm thinking that might be excluded :-).
I e-mailed Lockton and got a response from Kristen Cheatum regarding what is and isn't covered. She sent me a PDF of Lockton's sample insurance policy. Basically, it looks like everything is covered. Modifications that must be listed are custom paint jobs, body kits, electronic equipment, and aftermarket performance enhancements (e.g. turbo kits, nitrous, exhaust, cold-air intake, etc.).
Contraband, money, radar detectors, tapes/CDs, and tires are not covered.
Other than that, "We cover risks of physical loss to your scheduled automobile that occur due to your participation in the Driver Education Event for which you are registered unless the loss is limited or caused by a peril that is excluded."
If you'd like a copy of the sample policy, you can e-mail Kristen at KCheatum (at) locktonaffinity (dot) com.
By the way, I was at a HPDE at Portland Int'l Raceway with the ORPCA on Tuesday, and an '08 Viper GTS spun on the first lap and crashed hard into the wall, pretty much totaling the car. He did not have any HPDE insurance. Also, a Camaro ran off the track and almost hit a wall at the same event.
Is coverage available for liability in the event I damage someone else's car or hurt someone else?