ISO PM 00 16–GOLFERS’ EQUIPMENT FORM AND UNDERWRITING NOTES

(March, 2018)

Coverage under a Golfers’ Equipment Form is a type of inland marine coverage focusing on property used for playing and enjoying golfing.

Purchasing separate coverage facilitates protection at amounts that best reflect its value. Valuation is typically based upon relevant documentation such as a current appraisal or sales receipt. Separate protection is important since severe coverage limitations exist in standard homeowners policies for such property.

Inland marine coverage can be purchased using this form or combined with other types of items under a personal articles floater.

ISO PM 00 09-Personal Articles Standard Loss Settlement Form

Hobbies–Hazards and Opportunities.

ANALYSIS OF POLICY

SCHEDULE

The schedule has space to indicate coverage for the following:

· Unscheduled Property – Blanket Insurance

Note: This is only for low valued items because the maximum payment is $500 per item and cover is based on the actual cash value of the item.

· Scheduled Property

The form has additional space for specifically listing items and to indicate whether Agreed Value Loss Settlement in Common Policy Provisions Form applies to that item.

Related Article: Common Policy Provisions

A. Property Covered

1. Golfers’ Equipment Form coverage applies globally to all items listed on that form as either scheduled or unscheduled golfing equipment. Coverage applies when a limit and a premium amount is shown for such property.

Golfer’s Equipment Form covers the following (and similar) property:


Putting Drill Guide	Sweet Spot Finder	Strength Trainers
Bags (cart, staff, standing, travel, etc.)	Balls	Display stands
Irons	Putters	Additional Club Heads
Gloves	Additional Shafts	Shoes (a.k.a. spikes)
Custom Grips	Head Covers	Driving Nets
Bag Rain Covers	Golf Apparel	Shag Bags
Chipping Nets	Putting Mats	Tees
Putt Returns	Periscopes	Woods
Rangefinders (telescopic and laser)	Towels	Ball Retrievers
Shaft adapters	Cleaning brushes (balls, shoes)	Regrooving Tools
Dual Hinge Drivers	Wedges	Grip Swing Trainers

Example: Rhea came back from her annual business conference in a poor mood. She went through the trouble of bringing her new golf clubs with custom grips so she could play in the conference’s annual tourney. Unfortunately, they were stolen from outside the conference center’s clubhouse. Though it won’t make up for the bad experience, her policy will handle the theft.

The schedule includes a reference that property covered by this form is subject to Paragraph D. I. Loss Settlement in the PM 00 01–Common Policy Provisions because that provision includes coverage limitations.

2. This property class applies to golf clubs, golf clothing and golf equipment belonging to an insured. It also covers other clothing belonging to the insured while it is kept in any locker situated in a clubhouse or other building used in connection with golfing. Not that the following is a substantial point, but golf balls are insured only against loss by fire or burglary, if burglary appears to be the likely cause. In order to qualify for coverage, there must be evidence that balls were taken from within a building. Further, there must be evidence that a person broke into a covered location.

Example: Rhea's sleeve of custom, monogrammed golf balls also disappeared with her clubs but those were not covered because there were no signs of forcible entry.

B. Property Not Covered

The Golfers’ Equipment Form is not designed to cover all such property under all circumstances. Specifically, it denies coverage for any such property if it is contraband or is involved in any form of illegal activity.

C. Perils Insured Against

The ISO Golfers’ Equipment Form normally protects against all forms of direct, physical loss. However, it does not insure against loss or damage caused by:

1. Wear and tear, gradual deterioration or inherent vice

Example: Joe is excited to be invited to play at a new friend’s golf club. It has been several years since he played. When he digs his clubs out, he is upset to find that all of his custom rubber grips have hardened and fallen off. This would not be covered.

2. Insects or vermin

D. Deductible

This insurance is subject to the policy deductible that appears on the declaration page.

Underwriting

Insurers asked to review a substantial golf risk may be concerned with any moral hazard since coverage is typically written on a blanket basis. Although certain types of golf equipment are expensive, particularly the various types of clubs and bags, the bulk of any aggregate golf property consists of smaller, less expensive property such as balls, clothing and minor accessories. To minimize adjustment and coverage problems, care should be taken to gather proper information on the less expensive property so that appropriate items are written on a blanket basis. Exceptionally expensive items, such as custom or specialty clubs, should be scheduled at agreed values, with the insured amounts being supported by receipts or appraisals.

Other important underwriting considerations include:

Acquiring information on coverage available from the clubhouse where the insured usually keeps his clubs and equipment
What golf property is typically kept at home and what is kept at another location (golfing club)
Information on security at a golfing club
Loss experience of the applicant, particularly regarding golf-related losses
Loss experience of location where scheduled/insured golf equipment is typically kept
Does insured travel frequently with covered golf equipment
Is there evidence that an insured is a golf professional
Length of time insured has been a golfer

Again, experience and other coverage are meaningful compensating factors.