Spartan Race

In February 2020, a class-action lawsuit was filed against Spartan Race, an obstacle racing event company, for allegedly engaging in a deceptive insurance scheme. The complaint claims the company misleads consumers by:

  • Charging every participant a Racer Insurance Fee for accidental medical insurance to cover injuries that occur during events when, according to plaintiffs, the coverage is secondary and “essentially worthless” because consumers need to use their own medical insurance first;
  • Representing that the Racer Insurance Fee is used to buy insurance from a licensed third-party insurance carrier when, according to plaintiffs, Spartan Race does not tell consumers that it keeps a portion of the fee as a profit instead of using the entire amount to purchase insurance; and
  • Representing that the prices to register for races are cheaper than they actually are by not including the Racer Insurance Fee in the represented price.

(Fruitstone et al v. Spartan Race Inc., Case No. 20-cv-20836, S.D. Fla.)

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