When most people think about insurance, the usual suspects come to mind: health, home, life, auto, and travel insurance. However, the world of insurance is far more diverse and creative than many realize. Across the globe, people have found unique and sometimes unusual ways to insure things that matter to them.
These unconventional insurance policies may seem odd at first glance, but for the individuals and businesses that rely on them, these policies provide peace of mind.
Let’s take a closer look at some of the most unconventional insurance policies available around the world and what makes them so fascinating.
1. Alien Abduction Insurance (USA)
One of the most outlandish insurance policies available today is alien abduction insurance, also known as UFO insurance. This peculiar form of coverage is popular in the United States, particularly among conspiracy theorists and believers in extraterrestrial life.
For a modest premium, policyholders are covered in the event that they are abducted by aliens, with the promise of a payout if they return from their extraterrestrial experience. Some policies even include coverage for impregnation by aliens or psychic alien damage. To date, no verified claims have been made, but several companies in the U.S. still offer this whimsical insurance.
2. Body Part Insurance (Various Countries)
Celebrities and athletes often rely on their physical attributes for their livelihoods. To protect these assets, many have taken out body part insurance. For example, famous supermodel Heidi Klum has reportedly insured her legs for millions of dollars, while soccer star Cristiano Ronaldo has insured his legs as well, given their importance to his career.
Body part insurance allows individuals to safeguard their careers by insuring key body parts such as hands, legs, or even vocal cords. In the event of injury or damage to these insured parts, the policyholder would receive compensation. While this type of insurance is mostly associated with the entertainment and sports industries, anyone can take out a policy to insure a body part that is vital to their profession.
3. Wedding Insurance (UK & USA)
Weddings can be one of the most significant and expensive events in a person’s life, but they are also prone to mishaps. To cover any potential disasters, wedding insurance has become increasingly popular in countries like the United Kingdom and the United States.
Wedding insurance policies cover a variety of potential problems, including venue cancellations, extreme weather, vendor no-shows, and even dress or tuxedo damage. Some policies even offer protection in case one of the key participants, such as the bride or groom, becomes ill or is unable to attend. With the high cost of modern weddings, this type of insurance can offer couples peace of mind on their big day.
4. Hole-in-One Insurance (Japan)
In Japan, golf is a popular and prestigious sport, and hitting a hole-in-one is considered a major achievement. However, tradition dictates that the golfer must throw a party and give out expensive gifts to celebrate the event. This is where hole-in-one insurance comes in.
Golfers can take out hole-in-one insurance to cover the costs associated with throwing these elaborate parties. The policy pays for gifts, food, drinks, and other celebration expenses, allowing the golfer to focus on their achievement without worrying about the financial burden. While this type of insurance may seem odd to those unfamiliar with the tradition, it’s a practical way for golfers in Japan to celebrate without breaking the bank.
5. Beard Insurance (UK)
As beards have become a symbol of style, personality, and even income for some professionals, beard insurance has emerged as a niche but valuable policy. This type of insurance protects individuals who rely on their beards for their careers—such as actors, influencers, and models—from accidental damage or loss.
For example, British actor David Walliams famously took out insurance on his beard during a role where it was a significant part of his character. In the event that his beard was damaged or shaved off, he would be compensated. Beard insurance highlights the growing trend of individuals insuring unconventional but valuable assets.
6. Fantasy Sports Insurance (USA)
With the rise in popularity of fantasy sports leagues, especially in the United States, some companies have started offering fantasy sports insurance. This type of insurance covers fantasy sports participants in case their star player is injured or unable to play for any reason during the season. Since many fantasy sports leagues offer significant cash prizes, an injury to a key player can lead to significant losses.
Fantasy sports insurance works by offering policyholders payouts if their selected players suffer season-ending injuries. While it may seem niche, the growing number of fantasy sports enthusiasts has made this insurance more popular in recent years.
7. Lottery Winner Insurance (The Netherlands)
In the Netherlands, employers can take out lottery winner insurance to protect themselves from sudden staffing shortages. If an employee wins the lottery and decides to quit their job, the insurance policy compensates the employer for the costs of finding a replacement and the lost productivity.
This insurance became particularly relevant when a group of postal workers all won the lottery and quit their jobs at once. It’s a unique way for businesses to safeguard against unexpected departures that could disrupt their operations.
As unconventional as some of these insurance policies may seem, they all serve a purpose for the people and businesses that purchase them. From alien abductions to beard protection, these policies demonstrate the creativity and flexibility of the insurance industry in addressing a wide range of risks and needs.
While most people may never need to insure their beards or protect themselves against an alien encounter, these policies remind us that insurance can be as diverse as the world we live in—covering everything that’s important, even the unexpected.