How and When Is the Hole-In-One Claim Paid

This is a question that should be discussed when the contract for hole-in-one insurance is made. Some companies state that they pay 15-30 working days after all paperwork is processed.

From the St. Petersburg Times, published in 2002, it is revealed that one player who made a hole-in-one with a prize of $1 million received $25,000 a year for 40 years from an annuity. And that only after the contest organizers filled out a pile of forms and affidavits and an insurance investigator came out to interview all the witnesses. The winner joked that he’d be 104 when he gets his last payment. (He was 64 at the time of his hole-in-one.)

(This particular contest giving duffers a cool million for a hole-in-one had been going on for three months at three golf courses as a charity event benefiting All Children's Hospital in St. Petersburg.)

Contestants paid $2 at the courses to try to qualify. The closest ball to a particular hole that day on two of the three courses qualified contestants for the final, $1 million shot.

The winner was the last of the contestants to take their shot. Only one before him had hit the green at all. Among the witnesses for the million dollars hole-in-one was the course pro who gave the winner and his wife a golf lesson earlier in the day.

Golf Digest, gives similar information in a 2001 article about a $1 million winner in the Odessa City Championship. The story stated, “The $1 million will be paid in $25,000 installments to Morsey or his beneficiaries across 40 years. Some big-prize winners sell such annuities for a lump sum, and Morsey might do that for, say, $500,000.”