I don't know, I do know they sell farmers crop insurance so if the crop don't gross the amount of cost, They can at least not loose money on it. It's very popular and last year was very needed.
Yes there is. The tricky part is that you have to pick a minimum amount, a window of time and the amount of money you want to protect.
I have purchased it a few times and never had it rain within the guidelines.
It is basically a numbers game based upon weather history of the location that wealthy people gamble on.
Larry Kemp
Rates are all based off of historical weather patterns at each location on the day you are trying to insure against. Sometimes rate can be as high as 20% of the total amount you are insuring for. It all depends on the weather pattern and how much rain you are worried about. It would probably be too expensive in the long run for most local tracks to pull off on a weekly show. It’s a gamble for sure. If you have insurance against ¼” of rain, but you rain out and their meter only shows you got 1/10th, you don’t get paid. That being said, if you get ¼” of rain but you are still able to get your show in then you still get paid.
We have looked into it for a fundraiser outlaw kart race event me and my dad promote each year...the thing that turned us off is the time of rain issue... it has to be raining at the exact time your event was supposed to start and continue to rain throughout over 50% of the time it should have taken to complete the event.... so if you are trying to have a dirt track race and it rains 8 inches in a 24 hour period before the race but stops raining 10 minutes before the first heat race was scheduled to fire off you wouldn't be able to collect on the policy even though you were clearly rained out...This kind of policy would be great for things like outdoor concerts or maybe even asphalt races but not feasible for dirt track races.
