Club Support: Financial Insurance | Golf Australia

 

Important Insurance Information for Members From Golf NSW

You may have recently received an email from Golf Australia regarding changes to the Players’ Personal Liability Insurance arrangements.

In short, Golf Australia has made a number of changes to the liability insurance policy that will impact members from 1 March 2025. Loss or damage caused to electronic handheld items and golf carts will no longer be covered. Additionally, an excess may apply in some property damage instances.

The insurance policy is a key benefit as part of golf club membership. It offers $20 million personal liability cover for protection against litigation from a third party for damage to property or personal injury that occurs while your members are playing or practising golf.

THE DETAILS

Golf Australia has reviewed the policy arrangements with the primary objective of maintaining protection for members in the event of serious personal injury and ensuring the policy remains affordable and sustainable.

  1. Specific exclusions have been added for any claim, loss, damage, liability or costs and expenses incurred directly or indirectly in connection with third party property damage to:
    • Golf carts
    • Personal handheld electronic devices, including phones, iPads, watches, rangefinders, or anything similar
  2. In terms of claims excess, there are now three categories of insurance claim:
    • Personal injury claims – no excess will be payable
    • Property damage where a golfer is found to have followed all expected duty of care, local rules, and the Rules of Golf – no excess payable
    • Property damage where a golfer is found to have acted in a negligent manner and caused damage to a third-party property – $1,000 excess is payable

The changes raise two important issues for Club Members.

Firstly, there will now be some limited circumstances where a $1,000 excess will be payable by the individual member should a claim be made for property damage where the golfer is found to have acted in a negligent manner. Members will only have to pay the claims if the insurer determines the actions were negligent and there is a likelihood of some liability, and the insurer will incur external costs to defend the member. Members will not have to pay the excess while the insurer is assessing the claim. Before the excess is payable, the insurer will conduct a thorough investigation to determine if the member is likely to incur any legal liability through negligence. The insurer will indemnify the member as is the intent of the policy. If the insurer determines that the member was not negligent in their actions and therefore not liable, then the insurer may choose to defend the claim rather than settle the claim.

Secondly, members will be held accountable for any damage they may cause to the golf carts hired from the Club. 


WHAT SHOULD YOUR CLUB DO?

Given the changes, clubs should:

  1. Ensure their members are aware of the changes;
  2. Consider erecting appropriate warning signage and reviewing their incident reporting arrangements (e.g. implement QR signage around the golf course);
  3. Review their golf cart hire arrangements and agreement;
  4. Review the insurance arrangement for non-golf club members (e.g. Golf Australia’s green fee player coverage)
  5. Ensure members and visitors owned golf carts used and/or stored at the club are appropriately insured (e.g. Tee’d Up Cart Insurance)

 A list of Frequently Asked Questions may be found at the following link: