Is Golf Cart Insurance Really Necessary?

Gone are the days when golf carts were only for the course! Their convenience, low operating costs, and versatility make them ideal for a variety of recreational and practical purposes. They’re an excellent transportation alternative within gated communities, at campgrounds, on large properties, and during events. Some carts are even modified to serve as street-legal vehicles. 

So, does a golf cart need insurance? It depends what you use your cart for, but generally yes – where a vehicle is involved, insurance is usually also involved. There’s even specific golf cart coverage! But what does golf cart insurance cover, and do the things that it covers really need coverage? Let’s dig into these questions and more – starting with those we hear most frequently: Is my golf cart covered under my homeowners or car insurance policies?

Is a Golf Cart Covered Under Homeowners Insurance?

Some homeowners insurance policies provide limited coverage for golf carts that are used on the owner’s property or sometimes on a golf course. However, it usually won’t cover accidents, theft, or injuries if you drive the cart on roads, in a neighborhood, or anywhere off your property.

Does Car Insurance Cover Golf Cart Accidents? 

Standard car insurance does not typically cover golf carts – unless they have been modified to be street legal, registered as Low-Speed Vehicles (LSVs), and added to an auto policy. Standard car insurance won’t cover accidents or damage involving a non-street-legal golf cart.

What is Golf Cart Insurance?

Golf cart insurance fills in the gaps not covered by either homeowners or auto insurance. It’s a specialized insurance policy that provides liability, collision, comprehensive, and medical coverage for golf carts. It protects against financial losses due to accidents, theft, vandalism, or injuries caused while operating a golf cart. 

So, is golf cart insurance necessary? If you plan to use your cart beyond your private property, drive it in a community, take it on public roads, or want protection from theft and liability claims, then yes, it is absolutely necessary. Without proper insurance, you may be liable for golf cart damage, including repair costs, medical expenses, and legal claims.

Golf cart insurance claims follow a process similar to filing a claim for a car or homeowners insurance. 

1. Ensure safety and report the incident to law enforcement

2. Contact your insurance provider

3. Document the damage

4. Submit required documentation

5. Work with an adjuster

6. Receive payment or repair approval

Is There Commercial Golf Cart Insurance, Too?

Yes, commercial golf cart insurance is for businesses and organizations that use golf carts for work-related purposes. This type of policy provides liability, property damage, theft, and collision coverage for golf carts used in resorts, golf courses, event venues, security patrols, airports, colleges, and large properties. 

Unlike personal golf cart insurance, commercial policies offer higher liability limits and can cover multiple carts under one policy. If employees operate the carts, workers’ compensation insurance may also be necessary. Businesses using street-legal golf carts (LSVs) may need commercial auto insurance for road use.

Does Umbrella Insurance Cover Golf Carts?

An umbrella insurance policy can provide additional liability coverage for golf carts, but coverage depends on the underlying insurance policies and how the golf cart is used:

• If your homeowners policy includes golf cart liability coverage for private property use, an umbrella policy can extend that coverage if the liability limits are exceeded.

• If your golf cart is street-legal and insured under an auto policy, an umbrella policy can extend the liability protection just like it would for a car.

• If you have a standalone golf cart insurance policy, your umbrella insurance can kick in after that policy’s liability limit is reached.

Note, some umbrella policies exclude coverage for golf carts driven on public roads unless they are insured as an LSV. Some insurers only cover golf carts used on private property or within a designated golf course. Of course, if you have no primary insurance for your golf cart, umbrella insurance would not apply.

It’s fair to say then, that the question is not “Should I have insurance on my golf cart?” but “What kind of insurance is best for my situation?” 

What is the Average Cost of Golf Cart Insurance?

How much does it cost to insure a golf cart? ​The cost of golf cart insurance varies based on factors such as coverage type, usage, location, and the insurer. For accurate pricing, request a personalized quote from an insurance provider, considering your specific circumstances and coverage needs.

Personal Golf Cart Insurance

Factors influencing premiums include the cart’s usage, the driver’s age and driving history, and the cart’s features or modifications. A street-legal golf cart used on public roads may result in higher premiums. ​

Basic liability coverage starts around $75 per year. Comprehensive and collision coverage ranges from $400 to over $1,000 annually, depending on the golf cart’s value and chosen deductibles. ​

Commercial Golf Cart Insurance

For businesses utilizing golf carts, commercial golf cart insurance is essential. Premiums for commercial policies are generally higher due to increased liability and usage factors. While specific costs can vary widely, businesses can expect to pay several hundred to over a thousand dollars annually per cart, depending on coverage specifics and operational risks. ​

Golf Carts in the Carolinas

It’s crucial for golf cart owners in North Carolina and South Carolina to consult local laws and ordinances, as municipalities may impose additional regulations or requirements. Ensuring proper insurance coverage not only ensures legal compliance but also provides financial protection in the event of an accident or damage.​

​In both states, operating an LSV golf cart on public roads requires adherence to specific regulations, including insurance requirements.​ Both North Carolina and South Carolina require that: 

• Operators are at least 16 years old 
• Operators possess a valid driver’s license
• Golf carts travel only roads with speed limits of 35 mph or less
• Golf carts are registered with the DMV 
• Golf carts are covered by insurance

Can you get a DUI or DWI on a golf cart? Yes. In both North Carolina and South Carolina, operating a golf cart while under the influence of alcohol or drugs is illegal and subject to DWI (Driving While Impaired) or DUI (Driving Under the Influence) laws, respectively. Penalties for DWI/DUI offenses involving golf carts are similar to those involving standard motor vehicles and may include fines, imprisonment, and driver’s license suspension.

Have questions about insurance on a golf cart or have other insurance needs? Connect with our team at Independent Insurance Associates. We’re here to help!