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Threat to end motorsport in the EU

NEWS STORY
18/10/2017

A ruling by the European Court could mean the end of all motorsport in Europe.

As alarmist and clickbaitable as that might sound, many within motorsport are seriously concerned that unless those in the industry act - and act soon - all motorsport within the EU could end.

"In 2014 the European Court ruled that any use of a vehicle required compulsory insurance cover," explains the Guild of Motoring Writers as it calls on members to spread the word, "so long as that use was consistent with the normal function of the vehicle.

"This would require all EU Member States to enact laws requiring compulsory and unlimited third-party liability insurance to cover personal injury between motorsport competitors and car-to-car damage during any competition, at any level, whether regulated by the FIA or FIM or not.

"Insurance of this kind is not currently available and looks unlikely to be available in future - which would mean motorsport would not be able to continue in the EU."

"In simple terms, the EC plans to issue a new Motor Insurance Directive, as a result of which all EU Member States must put into their National Law compulsory and unlimited third-party liability insurance to cover personal injury between motorsport competitors and car-to-car damage during any competition - from Formula One, Moto GP, World Rally to karting, historic and grass roots, whether regulated by the FIA or FIM or not," explains the Motorsport Industry Association (MIA).

"However such widespread unlimited new insurance is not currently, and, we understand, will not in the future be available," it adds, "so motorsport will be unable to continue anywhere in the EU."

"This threat is real, make no mistake," says Chris Aylett, chief executive officer of the MIA, it could close down all motorsport (in countries in the EU).

"If you want to protect your job in motorsport then make sure your employer responds before the deadline of October 20," he adds, referring to the EU consultation which closes on 20 October.

"The EU offers an option, known as Option 3, where their insurance requirement applies 'in traffic only'," he adds. "If we succeed in getting this option supported then motorsport will be safe."

And as Brexit negotiations drag on (and on), it would be foolish to believe Britain would become exempt once the process is completed (if it is completed).

"Brexit won't change things," said Aylett. "If businesses don't take positive action now then motorsport will cease and we'll all be out of a job or business. It's a stark choice and there's no time to waste."

Further details regarding how those in the industry can help, can be found here.

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READERS COMMENTS

 

1. Posted by @R1Racing71, 20/10/2017 11:46

"The Operation and races will be moved to Asia and America and subsequently branded the "F1 World Series"
Dark days indeed."

Rating: Neutral (0)     Rate comment: Positive | NegativeReport this comment

2. Posted by The stogie, 19/10/2017 20:42

"I can see about six or seven British Grands Prix as a result of this abject stupidity. Bring it!!!"

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3. Posted by Schnauzers, 19/10/2017 15:52

"Not an April fool.

See https://www.mib.org.uk/media-centre/news/2016/june/mib-welcomes-proposed-changes-to-motor-insurance-requirements/

Also:-

20170821_uk_insurance_industry_response_to_mid_refit_ref_ares2173714481.pdf

where on Page 3 it states:-

The Commission will be aware that in Finland, where a compulsory insurance requirement for motorsport competitors was introduced, average premiums have increased dramatically (from an initial average of €200 to a more recent average of €4000, with much higher premiums charged for some events). If other member states were required to introduce compulsory insurance for motorsport competitors like in Finland, such competitors could also face high upfront costs or could find that insurers are not willing to accept the potential risk. Given that there are 200,000 regular participants, this could mean UK motorsport collectively absorbing a very high additional annual cost – potentially enough to see many events and racetracks close entirely, despite no evidence of any problem with the current arrangements (Note: Decisions as to premiums are for each individual insurer to take and insurers would be under no obligation to provide this cover – thus, motorsport competitors may find that they are unable to comply with the requirement to take out compulsory insurance). "

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4. Posted by Editor, 19/10/2017 8:34

"@ Mad Matt

We are not in the habit of publishing incorrect stories.

The article contains a link the Motorsport Industry Association which TokyoAussie presumably feels is also in on our April Fool"

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5. Posted by Mad Matt, 19/10/2017 7:52

"@Ro The EC didn't dictate this, if the story is correct. The ECJ made a judgement which necessitates a change in the law. Just the same as in the UK when the High Court, or Supreme Court rules that something the government has done is unlawful.

We might feel that the judges were.. ummm... misguided, or didn't see the consequences or that their decision has been misunderstood.............."

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6. Posted by TokyoAussie, 19/10/2017 4:46

"Is it the 1st of April already?"

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7. Posted by Ro, 18/10/2017 22:39

"Proof that coming out of the EU is going to be a good thing. What a load of cobblers! How can un-elected bureaucrats dictate like this?"

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8. Posted by mickl, 18/10/2017 22:29

"Straight bananas anyone?"

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9. Posted by Tombstone, 18/10/2017 21:19

"I suppose one could have the French GP at Brands Hatch. It's about as close to Calais as Dijon was to the Swiss border."

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10. Posted by VC10-1103, 18/10/2017 19:58

"Roll-on Brexit :) Just think, we will be able to host all the European GP events in the UK - Result!"

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11. Posted by Mad Matt, 18/10/2017 19:21

"I don't think the EC can force through a directive like that without the Council of Ministers (and the UK still gets a say here) and a majority vote by MEPs. Perhpas that's the reason for getting motor sport businesses to reply so that the EC presents these objections when it recommends the directive?

I haven't seen this on any foreign web sites yet so it'll be interesting to see another angle on the story... ECJ judgements often have different interpretations, until they're challenged or if advice is given. Is there a link to the judgement? I also wonder if you can simply sign a waiver if you want to compete....."

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