Oct. 3 (Bloomberg) -- Nationwide Mutual Insurance Co. will replace Anheuser-Busch Cos. as the title sponsor of Nascar's second-tier stock-car racing league, known for the last 26 years as the Busch Series.

The Nascar Nationwide Series will start next season and run for seven years under a contract between the racing group and the nation's fifth-largest home and auto insurer, Nascar Chief Executive Officer Brian France said on a conference call. Nascar, a closely held company based in Daytona Beach, Florida, didn't release financial details of the agreement.

``It's no secret insurance companies have flocked to the sport in recent years,'' said Brian Evans, director of client relations for Verve Sponsorship Group, an Atlanta consultant who specializes in Nascar. ``This gives Nationwide an asset that their competitors can't get access to.''

Allstate Corp., State Farm Mutual Automobile Insurance Co. and Geico Corp. all have ties to Nascar's top divisions. State Farm has a personal endorsement agreement with driver Jeff Burton and uses him in commercials for its policies. Kahne does similar promotions for Allstate.

Geico, owned by Warren Buffett's Berkshire Hathaway Inc., is the only auto insurer that's the primary sponsor of a car, backing the Busch Series ride of Mike Wallace. Supplemental- insurance provider Aflac Inc. also is a Nascar series sponsor and associate sponsor of Roush Fenway Racing's Greg Biffle.

Most insurers prefer to be associated with the sport without direct ties to a car, Evans said. That avoids alienating potential clients by having direct links to a particular driver or team. Auto insurers who once avoided racing because of the speed and risk are coming to Nascar to tap its large fan base, one of the most loyal in sports, he said.

``If something negative like an accident or death happened in the sport, fans don't associate it with the sponsor,'' Evans said. ``They wouldn't hold the sponsor responsible.''

To contact the reporter on this story: Gene Laverty in Charlotte, North Carolina, at glaverty@bloomberg.net.

Last Updated: October 3, 2007 15:21 EDT