Staying Out of the Hazards

For most golfers, there’s nothing worse than a two-stroke penalty. Golf course owners face their own unique set of hazards, and many extend beyond the course: property exposure from fires and catastrophes, the ever-present threat of lawsuits, and the risks that come with operating course restaurants and clubhouses. Indeed, it may seem that the course itself is a side note to insuring the facility. “When you are insuring a golf course, you really have three or four businesses in one,” said Bill Dalton, president of Bridgepoint Insurance Group, Wayne, Pa. “There is the golf course, restaurant and banquet facilities, retail and other amenities. You need to analyze all of those exposures individually to make sure they are effectively handled.” Dalton has been focusing on the golf insurance sector for more than 10 years. He started Bridgepoint Insurance Group with golf as a key focus. Today, the agency insures nine clubs in the mid-Atlantic region, which makes up 15 percent of the agency’s insurance portfolio. AA&B spoke with several agents who specialize in golf coverage and what to look for in a golf program. Losses Wind and fire damage are two of the most common property claims. According to Travelers’ 2006 “Safety on the Fairway” study, destruction from windstorms makes up 23 percent of total claim costs. Branches damage the greens, and the golf manager can control some of the damage by trimming dead limbs from trees and cleaning debris as soon as bad weather subsides. After wind, fire causes the most destruction at golf facilities, even though the actual number of claims filed is small (see Table 1). The most common cause of fire is from electrical deficiencies, usually in the golf cart storage area. Restaurant operations also play a role in fires. Other weather-related losses have large impacts on outdoor facilities, and these include hail, lightning and water damage. Catastrophe exposures can be the most severe: The West Coast has earthquakes, the Midwest has tornadoes, and the Southeast has floods. Golf clubs often incur frequent workers’ compensation claims and historically these claims increase during difficult economic times, Dalton said.

Economic conditions The golf industry has been uniquely affected by the economy. Public clubs need effective daily fees and number of rounds. Private clubs are driven by dues revenue. “There is need for these clubs to be more fiscally responsible than they may have been in the past,” Dalton said. So while insurance pricing is important–maybe more so today–the insurance buyer and the insurance broker must still analyze these programs for overall value. Want to continue reading? Become a Free PropertyCasualty360 Digital Reader. INCLUDED IN A DIGITAL MEMBERSHIP: All PropertyCasualty360.com news coverage, best practices, and in-depth analysis. Educational webcasts, resources from industry leaders, and informative newsletters. Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com. Register Now Already have an account? Sign In Now NOT FOR REPRINT © 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing. share on facebook share on twitter Trending Stories Playbook for Insuring Reconstruction: Cost Trends & Expectations Enhance Your Rate Planning With the New ISO Experience Index Progressive temporarily restricts some home insurance sales U.S. states most threatened by hurricane storm surge Must-have insurance for digital-age brands, influencers   Recommended Stories Insurance-business winners are masters of adaptation Elana Ashanti Jefferson | September 20, 2024 Be an octopus. U.S. states most threatened by hurricane storm surge Elana Ashanti Jefferson | September 19, 2024 Guidewire recently announced the availability of hurricane-risk data and maps at the national, state and local levels. Adjusters: Here's how to ask for more money Chris Casaleggio, AIC, AINS | September 19, 2024 A subtle, but firm approach is the way to go. Resource Center Checklist Sponsored by gryphon.ai The Ultimate Checklist for Protecting Your Organization from TCPA & DNC Compliance Risks Violating the Telephone Consumer Protection Act and Do Not Call regulations can cost your organization more than fines. Safeguard your organization from potential litigation, loss of consumer trust, and a damaged brand reputation with our ultimate marketing compliance checklist. Browse More Resources › White Paper Sponsored by One Inc Evaluating Payment Providers: A Playbook for Success in the Insurance Industry This white paper, designed specifically for insurance carriers, outlines 5 critical elements to consider when evaluating digital payment providers and how they can enhance your customer experience and streamline operations. Browse More Resources › White Paper Sponsored by Fleet Response The Future of Claims Management: Why the Human Element Will Always Matter Human insight remains irreplaceable in claims management, even as automation and AI revolutionize the industry. Explore the critical role of empathy, judgment, and trust in the claims process and the limitations of technology. Browse More Resources › PropertyCasualty360 Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now! Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events Already have an account? Sign In Now Follow Us On About PropertyCasualty360 Contact Us Site Map Advertise With Us Asset & Logo Licensing Terms of Service Privacy Policy Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.