STR in the Florida keys how to insure an included golfcart?

Question

We have a newly lunched STR in the Florida Keys! we would love to offer our golf cart that is street legal included with our rental, but we're hitting a wall with finding an insurance carrier that will give us any insurance for the guests operating the cart? has anybody been through this before and how did you get insurance?

Tyler Divin · Answer

We had one for a little while and found insurance for it through https://www.foremost.com/.  We required a copy of DL's for anyone driving and their insurance.  Our rules stated this and more...

ABC, LLC takes no responsibility for the operation of this golf cart.  THIS GOLF CART IS SOLELY THE RESPONSIBILITY OF THE REGISTERED DRIVER(S).

We put laminated signs with this in the cart and in the guidebook with this, safety rules, and operating instructions.

Tyler Divin · Answer

I certainly understand being cautious, and including a golf cart absolutely increases your risk; however, at the same time, nearly every beach town in America has bikes, golf carts, and mopeds, and those trike things for rent.  Every golf course in America rents golf carts all day, every day.  Most cities have e-bikes for rent that go 15+ mph. All of those businesses aren't getting sued into oblivion.  You can't waive your right to sue, but if you're providing a well-maintained golf cart in a community that allows them, making guests aware of how to operate it, having them sign off on a document saying you must be 25, have a valid driver's license, operate safely, you take responsibility, your insurance, etc.  I think there is a way to do it responsibly.  I'm pretty risk-averse, and I was able to make myself comfortable with that part.The reason why I sold ours is that I couldn't figure out how to avoid bad reviews or canceled bookings if the golf cart broke down or was in for repairs.  What if I have a big week-long booking in July, the guests chose our place because of the complimentary big neon blue six-seater golf cart to ride around Helen, GA, and the guest before them rams it into a curb, and it's down for repairs for the week?  The local rental place only had a few six-seaters, so if I'm lucky, I'm paying $165 a day to rent a six-seater, or my guests are unhappy.

For all the reasons discussed, I think @Josh Ball has the best idea to partner with local rental companies that offer pickup and dropoff.

Josh Ball · Answer

I looked at doing this at a property in a golf cart permitted town. Instead of actually going the golf cart included way that some of our competitors have, I have a couple of companies in the area that I recommend & these companies have agreed to drop off/pick up. Keeps me free & clear of it but still gives the option to guests. It's no different for the guest as it can be there when they arrive but its no headache/liability to me as a host.

Jules Aton · Answer

While I understand there are reasons we purchase insurance I'd also pass and would be surprised if signing a waiver is worth much if God forbid a kid gets hurt or killed.

Rod Hanks · Answer

Hard pass for golf cart rental. Have them sign a waiver if you insist on allowing access to your cart. It would not be worth the cost for a liability policy for just one golf cart. If you had a fleet it would make sense.

Nick Pokorny · Answer

forgive me if I am wrong Collin, but is that not the point of the insurance and release of liability? The same could be said for swimming pools and many other additions to rentals?  We are in a community that has a 20mph speed limit and golf carts are very prevalent so people are used to them. I do understand the concern, although there are multiple rentals in the same area offering them successfully. most of these rentals are managed by evolve so it seems they have a way to insure them with a waiver. I did try state farm and they pretty much laughed at me. I have my regular golf cart insurance through them, but they didn't want to touch the (commercial) side of the rental.

Collin Hays · Answer

Yes, that is the point of insurance, but with something like a golf cart, "gross negligence" could quite easily come into play, and if you are grossly negligent, you are now the insurance company.  Golf carts are unique, because they potentially not only harm your guests, but other people in the process.  If your guest is drunk and kills or seriously injures someone in the golf cart, then you have a lawsuit coming in from an outside party. The lawyers will take a good look at your net worth to determine if gross negligence might be financially advantageous to them.

There are just too many things that can go south with a golf cart, from a liability perspective. That is why insurers don't want to insure it.

Collin Hays · Answer

Offering a golf cart is begging for a claim and a lawsuit. A ticking time bomb.  One idiot. You'd be better off offering a car. Golf carts mane and kill all the time.

Andrew Steffens · Answer

Congrats! Ill have to check with client but I believe he had State Farm at his Indian Rocks Beach house.  It was costly, and we had each guest sign a release and provide their insurance and license information along with signed release.

STR in the Florida keys how to insure an included golfcart?

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