The Cost of Hole-in-One Insurance
The price of hole-in-one insurance is based on three things:
- The value of the main prize, such as a car or cash.
- The number of participants that will be playing in the event. The insurance company might automatically cover up to 144 golfers, with an additional charge for each participant over 144. They also need to know if any professionals are in the field—club or tour—because their presence increases the premium as a result of their higher skill level.
- The yardage of the main prize hole from which golfers will be taking their shot. Most companies require that this be a minimum of 150 yards while other companies require a minimum of 165 or even 175 yards.
The cost of a premium is generally 2-4 percent of the grand prize value.
Typically, a grand prize of $5,000 would carry a premium of somewhere between $100 and $180.
When asking for a quote find out if the cost includes supplemental prizes (smaller gifts for your other par 3 holes—usually up to four). Generally speaking, if you buy insurance on a grand prize, the company you buy it from will give your organization prizes to award for holes-in-one on the other par 3 holes on the course.
These supplemental prizes are varied and include vacations, cruises, electronics, golf clubs and golf art as well as gift certificates.
Custom tee signs are often included in the insurance cost or may be purchased from the company.
