Hole in One! Prize Indemnity Insurance
The great thing about golf tournaments is they are generally fun and relaxed with low expectations for the participants as far as exhibiting golfing prowess. They are a great way to promote and strengthen business relationships and usually support a worthy charitable event.
One of the highlights of golf tournaments is the opportunity to win prizes, and businesses often sponsor prizes. An example would include offering money if a player gets a hole-in-one on a specified hole on the course. These prizes can range from a few thousand dollars to upwards of $100,000 or more and are a great way to get exposure for the sponsoring business.
The odds of any player achieving a hole-in-one are slim, and to pull this off on the specified hole at the particular tournament are very small, but it can happen. Sponsoring companies can now buy Hole-in-One Insurance to indemnify them for the prize if someone manages this amazing feat. Generally, professional golfers are excluded from participating in these events for obvious reasons.
The cost of Hole-in-One Insurance depends on:
- The prize value
- The number of players in the tournament
- The number of attempts each player will have to make the shot
- The distance from the tee box to the green (usually 150 – 180 yards for par 3’s)
- If there is to be any reinstatement of the prize once it is won
The premium for Hole-in-One Insurance can range from a few hundred dollars to a few thousand but will always be a fraction of what it would cost to pay the prize out if some lucky person has the drive of their life and gets a hole-in-one.
Contact your Rogers Insurance Professional to get a quote today.
Blog Author: Hillaine McCaffrey