Gainsco to offer DE Insurance

[Phokaioglaukos]

Here's what what I know at this point.

There is an agent near us selling insurance for driver education. The wholesaler of the policies is WSIB Motorsports, the underwriter is one or more of the syndicates at Lloyds and the agent is Dan Thompson at Capacity Coverage, www.motorsportcoverage.com, 201-661-2441. The WSIB policy may also be obtained directly from WSIB: Jean DeWitt, Director, Wholesale Division, WSIB Motorsports Insurance jeand@wsibinsurance.com Ph: 866-904-9742 x2507 Fax: 866-974-2329, but I would go through Dan. The application asks you to state the value of the car and you pay a premium of 3% of that. The deductible is the greater of $2,500 or 4% of stated value. This is not an agreed value policy (a total loss does not entitle you to the stated value) but instead is an actual cash value policy (you get the lesser of cost of repair or value of the car, just like your street policy). An agreed value policy may be available, though. It covers only DE and not racing, etc. The WSIB policy is a very short one adapted (largely but not well) from a British model.

The insurance program offered by Snellings-Walters last year which was supposed to reopen this year is now not expected to do so. The contact there is: Lori J Creed, Commercial Account Manager, Snellings-Walters Insurance Agency, 1117 Perimeter Center West. Suite W101, Atlanta, Georgia 30338,(770) 508-3033 Direct Line. This is the policy I got last May, but it was pulled from the market when Chris Maume, the agent, left that company. The underwriter was SIU/Great Lakes Reinsurance (UK) PLC, a company with a really good AM Best rating. This is clearly an actual cash value policy.

The Snelling-Walters product that was underwritten by SIU/Great Lakes is now being offered by a different agency with a few changes: 1. Vandalism has been removed as a covered peril. 2. Under exclusions, they have added that the driver must be accompanied by a certified instructor unless released at the end of the session to complete a free lap, timed events and competitive racing are excluded, post or pre-instructional events are excluded, and any drivers must be declared on the Certificate. 3. Limit of Insurance has been restricted to pay the lesser of Actual Cash Value, cost of repairs, or stated amount. 4. The duties of the insured have been enhanced to clarify information that must be submitted in order to determine if a claim will be honored. 5. Comprehensive coverage is no longer an option. Coverage will be written on a Specified Perils basis. 6. Towing has been limited to a 150 mile radius. 7. Any reference to a collision with a bird or animal has been removed. The cost of the coverage is 3%, plus tax and policy fee. (The policy fee will run between $50 and $100, depending on the underwriting costs in each applicable state.) Deductibles will be 10% of the stated value, with a minimum deductible of $1,000. This applies to vehicles less than $100,000 in value. For vehicles with a value higher than $100,000, the minimum deductible is $15,000 and is subject to underwriting. You can get the policy form and information from Anna McManus, Liability Underwriters Inc, P.O. Box 527, Cumming, GA 30028, 678-513-4799 - Phone, 678-513-6077 - Fax, anna@liabund.com.

Gainsco has announced last fall that it will offer track insurance this year, and that Chris Maume has joined. Last week Chris said that Gainsco pulled the plug on that product, but Chris has partnered with Furman Insurance in Florida to offer a product that is still being prepared. You can reach Chris to get an application at c.maume@prosure.net. There are no terms available yet on this product.

Finally, I think Laurel DE is still writing track policies, but what they offer is not backed by a real insurance company (not a company with ANY AM Best rating), so STAY AWAY.