How Do I Purchase Hole in One Insurance and What Rules Do I need to Follow?

Let’s start off by explaining what hole-in-one insurance is for those that do not know and in my experience, that can sometimes include those who golf as well.  Hole-in-one insurance is a type of prize-indemnification coverage.  Tournaments pay a nominal fee through a company that offers this kind of indemnification protection and then they can offer various prizes such as cars, cash, or trips to their golfers as a hole in one prize and assume no risk whatsoever if there should be a winner.  The company that provided the indemnification coverage would be responsible for issuing the monetary value of the prize to the winner.  Usually, the indemnification company insures their client’s commitments through a larger insurance carrier.

When looking into purchasing holes in one insurance, most people use the internet and Google hole in one insurance or hole in one coverage.  When you use these keywords, you will get the most success and get numerous companies that provide this kind of insurance/indemnification coverage.  When choosing what company to use, I am immediately drawn to a crisp, clean website that is easy to navigate and does not contain information overload.  I want things easy to understand, especially if purchasing this coverage is a new experience.  The company that I am going to focus on is NATIONWIDE Hole in One, with the URL www.nationwideholeinone.com.  When I visit the website, I see that they have created hole in one prize packages that make it very easy and direct me to some great offerings and also have the corresponding pricing based on three different player counts so that I can see what fits into my budget.  There is also a how it works and a frequently asked questions page that answers many of the questions that I also had.

When ready, the information that I needed to proceed with my order was the following:

·         Name of tournament

·         Date of tournament

·         Golf course

·         Location

·         Number of golfers

·         Prize package

·         Tournament director name and contact info

·         Shipping address

I could either order online using a form on the page or contact them by phone.  I am old school and chose to call.  It was a very easy experience; I simply gave the information above and my order was processed.  I received an invoice that needed to be paid before the start of the tournament for coverage to be binding and I needed to read and sign the contest agreement.

Contest Agreement

The contest agreement is a very important binding document that should be read from beginning to end.  This document contains the terms that must be followed exactly for coverage to be in effect. Some of the more important items on this agreement that need special attention are the yardage, the target hole, number of golfers or shots, and witness requirements.   

Yardage – The yardage for the grand prize hole will be assigned by the hole in one company and will be based on the quote that was given to the tournament.  It is extremely important that once the agreement is signed and returned, the yardage on the contract be adhered to.  It is a good idea for the tournament director to keep a spare copy of the agreement so that he or she can present it to the golf course on tournament day so that the golf course staff sets up the hole and signage at the contracted yardage.  The hole-in-one signage will also have stickers that will display the target hole and yardage to additionally ensure that the golf course staff correctly sets the hole up correctly. If there is a successful hole in one made and the yardage was setup at lower yardage than was listed on the agreement, the claim could be denied, or the grand prize value adjusted accordingly.

Target Hole – The target hole is the location that the grand prize will be located on and where the indemnification coverage will be in effect.  This one is obviously important as you would hate to have someone make a hole in one and find out that the coverage was not for that hole.

Number of Golfers – Like the yardage, the number of players plays a factor in the premium pricing to the tournament for the hole-in-one insurance.  The more golfers in the tournament, the higher the premium will be.  Once the agreement is signed and the player count is final, you cannot have more attempts or shots at the grand prize than is listed in the contract.  If a hole in one was made and the player count was higher than what was agreed to, the claim could be denied, or the grand prize value adjusted accordingly. It is a good practice to inform the hole in one company before the start of the event if there is an increase in players and they can adjust the coverage as needed.

Witness Requirements – This is probably the most important part of the hole-in-one agreement. As part of the agreement, an independent, third-party witness must be stationed at the target hole green for the duration of the tournament.  They need to witness the shots taken by the players so that if there is a successful hole in one, they can attest to it by the necessary paperwork that they will be required to complete. The witness can be a volunteer from the tournament committee, a sponsor, golf course staff or just anybody not playing in the tournament.  Just one witness is needed for prizes with values under $50,000, although sometimes tournaments use two people so that they can have some company while performing their duty for 5 or so hours at the green.  When prize values get above $50,000, two witnesses are required to be at the hole.  The witness is a crucial element to the claims process and one that no tournament should overlook or forget to implement.

There is no question that adding an exciting and valuable prize utilizing hole in one insurance will make your golf tournament a better experience for your golfers as well as differentiate your event from others.  If you should have a golfer make a hole in one at your tournament, it is a very exciting occurrence, and the buzz that it creates will only help your event, just remember to read the entire agreement and adhere to all of the terms in it, especially the ones that I highlighted above.