A reverse system for an all-terrain vehicle (ATV) having an engine and an engine drive shaft, a reverse activator, an engine speed limiter, and an override switch. The reverse activator is coupled to the drive shaft. The reverse activator activates operation of the ATV in a reverse direction. The engine speed limiter limits engine speed to below a predetermined level while the reverse activation switch is engaged. The override switch allows engine speeds above the predetermined level only when the transmission is in four-wheel-drive. The method of carrying out the invention is also disclosed.