Last Updated: June 13, 2022

NASCAR Racing: Understanding How Insurance Works in Motorsports

NASCAR and the insurance sector have had a long history of partnership. Renegade Insurance’s tie-up with Stewart-Hass racing became a major talking point in the NASCAR racing world.    

The emerging insurtech brokerage inked the deal to sponsor Aric Almirola, one of the champions of the Stewart-Haas racing team. In the past, many insurance heavyweights like Geico, Progressive, and Nationwide have also partnered with NASCAR teams because of their brand value.  

Every year there are 36 races across 39 locations in the U.S. and Canada. Over the years, NASCAR has gone to great lengths to make racing safer for drivers. The competition hasn’t had a fatal accident for 19 years, which is a testament to its commitment to ensuring and improving driver safety. However, the high-speed nature of the sport still makes it susceptible to freak accidents on the track.

According to, NASCAR witnessed an average of 3 crashes per race in the 2019 season. Given the rate of accidents, the drivers face quite a challenge when it comes to getting insurance. Unsurprisingly, the expenses can skyrocket pretty quickly. Alliance Insurance Services reported that it costs approximately $9,000 to insure a $150,000 race car, annually with a full coverage scheme.  


Since NASCAR is a high-risk sport, factors like the build of the car, costs of the car parts, and the racer’s driving history are considered to determine the driver’s insurance premium. Professional NASCAR drivers  are held to strict sports health standards to compete on the race track. So, the more races they compete in and finish successfully, the lower their premium can get.  

Most NASCAR drivers have a base policy that includes personal liability, medical payments, and uninsured/underinsured motorists’ coverage. Some drivers purchase additional protection, such as excess bodily injury coverage, which pays out beyond the limits of the driver’s primary policy in the event of a severe accident on the race track.


Multiple Coverage Options at Your Fingertips

Choose from various options and select the policy that best suits your requirements.