The Fédération Internationale de l’Automobile (FIA), the body behind Formula 1, has announced the creation of a new task force charged with addressing what they have identified as sparaling insurance premiums.
The initiative, unveiled by FIA President Mohammed Ben Sulayem, says it will draw on expertise from across the federation’s dual pillars of motor sport and mobility. It will be led jointly by Valerio Iachizzi, Secretary General for Sport, and Willem Groenewald, Secretary General for Mobility and Sustainability, with participation from member clubs and insurance specialists.
Ben Sulyamen will be pleased if the “initiative” draws attention away from past allegations against him. The most consequential allegations surfaced in 2024, when a whistleblower claimed Ben Sulayem interfered in competitive matters – pressing for the reversal of a race penalty at the 2023 Saudi Arabian Grand Prix and urging officials not to certify the Las Vegas circuit. After an outside-assisted probe, the FIA Ethics Committee cleared him of wrongdoing, finding no evidence to support the claims. The complaints and the BBC’s initial reporting has nevertheless intensified scrutiny of the president’s leadership style and decision-making.
The committee’s mandate is clear: assess the financial pressures created by premium inflation, shrinking coverage, and limited insurer appetite, and deliver recommendations to ensure that motor sport remains viable from grassroots levels to the global stage. Rising costs, officials warn, are increasingly out of reach for small organizers and pose longer-term risks for the growth of the sport.
“Rising insurance costs risk limiting opportunities and undermining accessibility across the world,” Ben Sulayem said in remarks published by the FIA. “To address this, we must work hand in hand with our Clubs, insurers, and local authorities to deliver solutions that keep our sport safe, fair, and sustainable for all.”
Iachizzi noted the burden on community racing and entry-level competitions. “Rising insurance costs present a serious challenge to maintaining this ecosystem, particularly for grassroots competitors and organisers,” he said.
Groenewald emphasized that lessons from mobility policy can help motor sport manage the shift. “Our experience in working with governments, regulators, and the insurance sector to protect consumers and keep mobility accessible provides us with valuable expertise that can also benefit our sport,” he said.
The announcement comes as the wider motor insurance market grapples with its own turbulence. In the United States, auto premiums rose by more than 20 percent between February 2023 and February 2024, one of the sharpest annual increases on record, according to Bureau of Labor Statistics data. Analysts attributed the spike to inflation in vehicle parts and repair costs, medical claims, and litigation exposure. Although rate hikes have begun to slow in 2025, the pressures remain evident across both personal and commercial lines.
In this respect, the FIA’s concerns echo broader industry anxieties: whether in household mobility or elite sport, escalating costs of coverage are testing affordability and accessibility. For underwriters, the task force may provide a blueprint for collaboration between regulators, event organizers, and insurers on risk mitigation and sustainable pricing models.
The FIA said its committee will map the scale of the problem, identify structural causes, and explore benchmarks for affordability. An interim report is expected at the federation’s annual meetings in Tashkent, Uzbekistan, in December.
