When we think of insurance, the usual suspects come to mind—health, life, auto, home, travel. But beyond these familiar categories lies a shadowy, often strange world of insurance policies so rare, most people don’t even know they exist. These niche policies are often created for highly specific risks and, in some cases, seem more like publicity stunts than practical tools. Yet, they’re real. Here’s a look at some of the rarest types of insurance in the world.
1. Alien Abduction Insurance
Yes, this exists—and surprisingly, it’s not a joke. Some companies, like the Saint Lawrence Agency in Florida, have been offering alien abduction insurance since the 1980s. The policy typically pays out a lump sum (usually a few million dollars) if the insured can prove they were abducted by extraterrestrials.
But here’s the catch: the payout often requires physical evidence, a third-party witness, or the alien itself signing the form—making the claim nearly impossible to process. Still, thousands of people worldwide have bought such policies “just in case.”
2. Change of Heart Insurance (Wedding Insurance)
Planning a wedding? Imagine spending lakhs or thousands of dollars on a grand wedding only for your partner to cancel at the last minute. Some insurers offer “change of heart” or cold feet insurance, which reimburses the non-breaching party if the wedding is called off unexpectedly.
This is not the same as regular wedding cancellation coverage, which deals with things like natural disasters or venue issues. This one specifically targets emotional decisions.
3. Taste Bud Insurance (Yes, for Chefs)
Top chefs and food critics rely heavily on their sense of taste. Some famous culinary figures have insured their taste buds or tongues for millions of dollars. For instance, Egon Ronay, a well-known food critic, insured his taste buds for £250,000.
These policies are highly specialized and tailored through Lloyd’s of London, the go-to insurer for weird and rare risks.
4. Fantasy Sports Insurance
With the rise of fantasy leagues, particularly in the U.S., people have started buying fantasy sports insurance. This covers your entry fees if your drafted star player gets injured and ruins your chances of winning.
While it may sound over-the-top, high-stakes fantasy leagues can involve thousands of dollars. For serious players, insuring a season makes financial sense.
5. Bed Bug Insurance (Hospitality Industry)
Hotels and Airbnb owners are now turning to bed bug insurance. Bed bug infestations can lead to lawsuits, refunds, fumigation costs, and massive reputational damage. This rare insurance helps cover the cost of cleaning, guest relocation, and even legal fees.
6. Multiple Birth Insurance
Having twins can be surprising. Having triplets or more can be financially devastating. That’s why some expectant parents opt for multiple birth insurance, which pays out if they have more than one child at a time. It’s more common in countries where fertility treatments increase the odds of multiple births.
7. Body Part Insurance (Famous People Edition)
Many celebrities insure specific body parts that define their careers. While this isn’t exactly unheard of, it’s still rare and fascinating:
- David Beckham reportedly insured his legs for $70 million.
- Dolly Parton once insured her chest.
- Bruce Springsteen is said to have insured his voice.
These policies protect future earning potential in case a crucial body part is damaged.
8. Immaculate Conception Insurance
Believe it or not, a few religious organizations or deeply faithful individuals have purchased virgin birth insurance—a bizarre policy that offers coverage in the (extremely improbable) event of a divine conception. Some policies were eventually canceled after public backlash or mockery.
9. Ransom Insurance (Kidnap & Ransom Insurance)
While not as humorous, this insurance is very real and rarely discussed. Wealthy individuals, high-profile executives, and journalists working in dangerous zones sometimes take out Kidnap & Ransom (K&R) insurance.
This policy covers costs related to hostage negotiations, ransom payments, and even trauma counseling post-release. Most companies keep it confidential to avoid making themselves a target.
10. Volcano or Natural Disaster Event Insurance (for Travelers)
Heading to Iceland or Hawaii? Some niche travel insurers offer volcano disruption insurance—which specifically covers losses due to volcanic eruptions and related airspace shutdowns. This became more popular after the 2010 Eyjafjallajökull eruption that grounded European air travel for weeks.
Final Thoughts: Why Do These Exist?
Most of these rare insurance types sound ridiculous—until you’re in a situation where they suddenly make perfect sense. Whether they’re clever marketing stunts, a form of peace of mind, or genuine financial protection for the ultra-rich or ultra-specific, they show how deeply human our need for control and preparedness is—even in absurd situations.
So next time you buy health insurance, just remember—someone, somewhere, is sleeping soundly knowing their fantasy football season, taste buds, or alien abduction claims are fully covered
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