Hole-In-One Coverage: A prize of $10,000, $20,000 or $50,000 is available to purchase - if someone gets a hole-in- one during a regulation golf tournament. You need to figure how much to charge for each prize.

MMI does not have any of their own statistical data, but they do know:

Guardian Insurance offered this coverage in the past and they usually had $150,000 in prize money awarded each year - based on an average of four holes-in-one per year. Statistics below.

MMI will have one staff member assigned to manage the project half time - they are paid $60,000 per year. (.5 fte = $30k). MMI wants a $50,000 profit each year (this will pay for their overall marketing of MMI).

You also need to pay the insurance broker a commission of 10% for each policy sold.

1. 

GUARDIAN INSURANCE EXPERIENCE - To the Best of our knowledge Number of Golf Number of Year Number of Total Paid Prize Sizes Tournaments Golfers prizes Insured 1350 194400 2019 6 200,000 $10k, $20k(2), $50k (3) 1250 180000 2018 5 150,000 $10K, $20K(2), $50k(2) 1180 170000 2017 4 120,000 $10k(2), $50(2) 1110 160000 2016 7 230,000 $10k(3), $50K(4) 1040 150000 2015 3 110,000 $10K, $50K(2) (new prize of $50k this year) 972 140000 2014 2 40,000 $20k(2) 830 120000 2013 3 60,000 $20K(3) 690 100000 2012 3 60,000 $20k(3)