Golf Carts as Mobile Equipment

A client of ours owns large apartment complexes in Florida. The insured owns golf carts which are used primarily for maintenance and sales staff, but occasionally for transporting tenants within the grounds. Is this use covered by the CGL form? We are interested in med pay coverage and liability coverage just in case a tenant riding in a golf cart gets hurt in a collision, or in case someone gets hit by a golf cart while it is being driven by an employee of the insured.

Florida Subscriber

If an employee runs into someone while driving a golf cart, that liability would be covered by the CGL form. A golf cart would fit the definition of mobile equipment, either as a vehicle designed for use principally off public roads, or as in this instance, a vehicle maintained for use solely on or next to premises that the named insured owns. And, the mobile equipment exclusion on the CGL form does not apply in circumstances such as this.

As for the med pay coverage, that should also apply. Of course, the bodily injury has to be caused by an accident on the premises owned by the named insured—or on ways next to the premises—and the coverage will not apply to anyone considered to be an insured under the CGL form. But, if a tenant is hurt while riding in a golf cart driven by the insured's employee, there is no exclusion that would prevent med pay coverage.