The cost of sponsorship and by who.

I'm bothered quite a bit by the cost of racing at the Cup level today, but I'm more upset with some of the companies that do. Last week I heard the details of the Farmers Insurance sponsorship for Kasey Kahne for the next 3 years and wondered how they justify this move. It was reported that the contract between Hendricks and Farmers Insureance is for 17.6 million a year for 3 years. Thats 52.8 million for 3 years. This just don't sound right to me. How can a insurance company have that much "SPARE" capitol that they can justify itwith their customers. If I had anything insured with Farmer I think I would have to question my premiums.
updated by @bumpertag: 12/05/16 04:02:07PM

BT, isn't that the opposite of brand loyalty? Hmmmm bet NASCAR nor Hendrick warned Farmers of that potential response.

But you bet they have the cash. Read this post on ZeusRadio.com by D.C.Hammer.

http://zeusradio.ning.com/profiles/blogs/you-are-the-guilty-party

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Founder/Creator - RacersReunion®

Very good article. Some of these sounded like what happened to my neighbor. He wife was involved in a 4 car accident. 3 stopped, the front car waiting or traffic to turn left. A woman rear ends the line of cars and totals 2 of them. After a fewweeks of investigating and stalling, the insurance demands that my neighbor return the rental car even though they had not reached an agreement on the value of her car. They offer 40% of what the car was worth and my neighbor refussed. After 2 weeks with no car and no better offer from the insurance they decided to take the offer and cut their losses and just move on. 3 days later the insurace calls them and tells them the company doesn't have the money to pay them and tells them they will have to turn it in on their own insurance. Now their premiums have gone up. None of this was my neighbors fault, she was the second car in line already at a full stop. If this is typical of how insurance is hangled, I need to get into that business.

Good idea! Then you could start sponsoring race cars, BT. I want to get my name in the hat early.

Bumpertag said:

Very good article. Some of these sounded like what happened to my neighbor. He wife was involved in a 4 car accident. 3 stopped, the front car waiting or traffic to turn left. A woman rear ends the line of cars and totals 2 of them. After a fewweeks of investigating and stalling, the insurance demands that my neighbor return the rental car even though they had not reached an agreement on the value of her car. They offer 40% of what the car was worth and my neighbor refussed. After 2 weeks with no car and no better offer from the insurance they decided to take the offer and cut their losses and just move on. 3 days later the insurace calls them and tells them the company doesn't have the money to pay them and tells them they will have to turn it in on their own insurance. Now their premiums have gone up. None of this was my neighbors fault, she was the second car in line already at a full stop. If this is typical of how insurance is hangled, I need to get into that business.

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Founder/Creator - RacersReunion®

Insurance companies are crooks. They have state licenses to rob customers and state laws to protect them from having to pay claims. Check it out. States protect those insurance lobbist like D.W. protects Digger.


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What a change! It's been awhile since I've checked in and I'm quite surprised. It may take me awhile to figure it our but first look it's really great.

Wow. To think Kasey Khane was Allstate's poster boy. NOT ANYMORE!

I also question how Nationwide can sponsor an entire series.

I was worried about being too blunt (imagine that of me) in my assessment of insurance companies, but it appears those here, and that Hammer guy are all on the same page.


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What a change! It's been awhile since I've checked in and I'm quite surprised. It may take me awhile to figure it our but first look it's really great.

I have exact same feelings in regard to BB&T sponsoring RCR. If BB&T has enough 'extra' funds to go Cup racing, they can sure hire some extra tellers and a receptionist down at the local branch.......instead of the few poor tellers trying to do about 3 different jobs simultaneously.

I guess we could apply this same question to any sponsor. Should we question the companies that help tomake the sport we love possible. I look at these different companies in a different light, companies that produce a product and use the advertising to promote their product, and companies that provide a service.I can see a product promotion as a way to attract customers but I struggle with a service promotion. I guess it's really all the same. Guess it all goes back tomy days of STP, Purolator and Coca Cola.This is a different era and I haven't adjusted very well.