Golf Tournaments, Tools and Tips

Understanding Hole-in-One Insurance for your Golf Tournament

Hole-in-One InsuranceIncluding golf tournament contests is a great way to raise additional funds as part of a fundraising golf tournament. If you’ve been tasked with planning a golf tournament, you might consider incorporating an exciting hole-in-one prize. They do not happen that often, but when they do, tournament planners are happy they took the time to buy hole-in-one insurance. It’s never been easier to offer exciting hole-in-one prizes at affordable prices. We spoke with Dennis Chase at Hole-in-One Clearing House to understand the basics of HIO insurance and how an organization might offer a thrilling prize at a golf tournament.

How does Hole in One insurance work?

Scenario: A charity golf tournament solicits a local car dealer to partially sponsor their event. The dealer places a new BMW valued at $65,000 out at a hole. Whoever putts a hole-in-one at the designated spot wins the car.

Details: The car dealer calls an insurance company. The company, factoring in a number of variables such as distance and number of players, writes an insurance policy. To get an idea of cost, a realistic amount for this prize is approximately $850. The company then pays off the price of the car to the dealership if there’s a win.

How is the price paid for Hole in One insurance calculated?

Three variables determine the price for insurance:

  1. The number of golfers: 150 players will cost more than 80
  2. The yardage of the hole: 180 yards will cost less than 160.
  3. The dollar value of the prize: A prize valued at $150,000 will cost more to insure than one valued at $50,000.

The formula is very simple and straightforward. Hole-in-One Clearing House pays off approximately every 120 tournaments. However in the case of Member/Guest or Member/Member tournaments, the payment is closer to every 50 events because the golfers are more skilled.

What should people look for when researching a Hole in One insurance provider?

You should always ask two questions: 1) Are you licensed in our State? and 2) Are you insured? Take a look at their insurance policy. It also doesn’t hurt to look them up online and see if they have a clean record. A simple Google search on their name might turn up surprising results.

Any other suggestions you may have?

At Hole-in-One Clearing House, we can do any kind of a prize as long as there is a dollar value attached. We’ve insured livestock, a high-end Mercedes, His & Her bands, and a Maserati. Our company insures up to one million dollars. The prizes create plenty of excitement. A shiny Harley-Davidson Fat Boy sitting out on the green inspires a lot of enthusiasm. Another idea for charities is to split a cash prize with the winner.

More Golf Tournament Resources

GolfRegistrations is the leader in online registration and software services for charity and corporate golf tournaments. Try us out with a free trial and see more great golf fundraising ideas.

About Lisa Bennett

Lisa is the Sales Director at DoJiggy. She joined DoJiggy in 2006 and loves her job. Prior to working with DoJiggy, she worked at several non-profits and managed special event fundraising.
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