Golf carts are gaining traction in the insurance marketplace

Rising insurance premium and policy numbers reflect their growing popularity


They’re slow. They’re clunky. Some would say they’re not cool. But golf carts are becoming the darlings of the transportation world.

And they are a growing cross-sell opportunity for some independent insurance agencies. The increasing popularity of golf carts accompanies a surge in insurance policy sales and renewals.

The latest golf cart premium and policy data  

Based on aggregated, anonymized data from independent agencies using Vertafore’s agency management and rating solutions, the market for golf cart insurance has grown steadily over the last five years, based on average billed premiums and the number of written policies. Let’s take a look.

Average billed premium

During the past five years, insurance premiums for golf carts have increased a whopping 88% on average, peaking in 2022 at more than $150.  

Average billed premiums over a 5-year period.
Average billed premiums over a 5-year period

Written policies

Sure, the number of policies written for golf carts doesn’t come close to personal auto coverage, but the numbers have spiked over the past five years. The growth aligns closely with a historical and projected increase in golf cart sales in the North American market and around the world. By 2028, global sales are expected to hit $2.84 billion.

Number of policies written over a 5-year period 


Average renewal rates

Average policy renewal rates over a 5-year period

The five-year steady climb for policy numbers and annual premiums is a highlight in the data. The story changes a bit when we turn our attention to average renewal rates.

The best year for rates, 2019, showed that 7 in 10 policyholders renewed, but that number fell drastically to 3.5 in 10 in 2021. Currently, renewal rates have rebounded, but not to their 2019 levels, and their up-and-down nature suggests some degree of churn for policies written for golf carts.

Golf cart growth—what’s happening?

Golf carts have historically ruled where people need to get around in spaces shared by pedestrians. Golf courses, large entertainment venues, theme parks, stadiums, and sprawling college campuses have been their kingdoms.  

But as the economy, the climate, and urban planning have changed, so have the tasks golf carts can complete. As they move away from the links, they have become more agile, safer, cooler, and street-legal in many states. In fact, 45 states license them for street use when the vehicles meet certain safety, insurance, and licensing requirements.

Golf carts are becoming a second-vehicle alternative

More golf carts are also making a move into the American family’s garage. Their extended battery life, growing range, extensive customizability, and ongoing safety improvements have allowed people to seriously consider adopting a golf cart as their “get-around-town” option.

The rising popularity of golf-cart-as-second-vehicle is attributed to their practicality. Some consumers see them as great for short trips and errand-running, and with lower maintenance costs—fewer parts and no gasoline engines to contend with, and price—golf carts are far less expensive than their larger automobile cousins.

Golf cart communities are the new urban planning rage  

Cart communities are popping up nationwide—and they aren’t just for golfers.

Communities such as The Villages in Florida, Peachtree City in Georgia, and Sun City in Arizona prioritize golf cart transport, and many are exclusively restricted to cart travel. Some of these communities are for retirees or people 55 years and older, but not all. Peachtree City, for example, is a small town with 100 miles of paths that link people with shopping, schools, parks, public buildings, and recreation. Kids in Peachtree are learning to drive in golf carts and safely transporting themselves to school and activities.

There is a lot to unpack in this data and in the information unfolding in the market. To learn more about golf cart insurance and market trends surrounding them, check out these resources:

Golf cart insurance: What does it cover? (
Golf carts: What insurance coverage is par for the course? (