Boaters' Insurance
Michael T
Member Posts: 7,227 ✭✭✭✭✭
As some of us get ready to launch it may be time to review our boater's insurance. Boating Magazine just posted what they thought were the 5 most important features to have coverage for - after - personal liability (I recommend $2 million of that coverage)
1. Consequential Damage: Your bellows fails and your boat sinks - will the damage be covered?
2. Fuel Spill (IMO the most important coverage to have after personal liability) - clean-up bills of $900K have been charged in the U.S. and Europe. The 3 insurance companies I contacted for my PWC all offered $ 2 million personal liability and fuel spill as separate line items.
3. On the water towing.
4. Salvage costs - some owners have faced huge costs when their boats washed-up inshore.
5. Damage to or theft of trailer *your auto/truck insurance "should" cover any liability if your trailer is backed into something causing damage. IMO you should contact the agent who brokered your tow vehicle coverage if they are not the agent who brokered your tow vehicle coverage.
My friend who owns an insurance brokerage said if your agent can get you acceptable marine coverage as part of your home/auto package you should get a better price but more important in an accident while towing your boat/watercraft if the same companies are insuring both the tow vehicle and the boat being towed any settlement will be far less complicated. I get his point but I don't think my broker can match the coverage I can get from a specialty marine insurer so I may be using a different broker for my PWC.
Here's an interesting note: Two marine insurance companies I got quotes from offered $2 million for 3rd party liability BUT the fine print said that was for anyone NOT on the boat. What? I asked how much medical coverage for those ON the boat. One said $5K per person the other said $5K TOTAL!!!! The third company I got a quote from said $200K per person ON the boat. That agent said IMO you want more than $5K because that wouldn't cover the dental someone slipping and knocking their front tooth out!
I'm not naive, I know to read the fine print and that policies differ widely but they differed a LOT more than I thought!
Then there's replacement cost and "agreed upon" replacement cost. What have you got? What do you interpret it as?
Before you hit the water this year I respectfully suggest you do the PITA chore of reading the fine print and if in doubt send your agent an e.mail so you have a reply "in writing".
Cheers MT.
1. Consequential Damage: Your bellows fails and your boat sinks - will the damage be covered?
2. Fuel Spill (IMO the most important coverage to have after personal liability) - clean-up bills of $900K have been charged in the U.S. and Europe. The 3 insurance companies I contacted for my PWC all offered $ 2 million personal liability and fuel spill as separate line items.
3. On the water towing.
4. Salvage costs - some owners have faced huge costs when their boats washed-up inshore.
5. Damage to or theft of trailer *your auto/truck insurance "should" cover any liability if your trailer is backed into something causing damage. IMO you should contact the agent who brokered your tow vehicle coverage if they are not the agent who brokered your tow vehicle coverage.
My friend who owns an insurance brokerage said if your agent can get you acceptable marine coverage as part of your home/auto package you should get a better price but more important in an accident while towing your boat/watercraft if the same companies are insuring both the tow vehicle and the boat being towed any settlement will be far less complicated. I get his point but I don't think my broker can match the coverage I can get from a specialty marine insurer so I may be using a different broker for my PWC.
Here's an interesting note: Two marine insurance companies I got quotes from offered $2 million for 3rd party liability BUT the fine print said that was for anyone NOT on the boat. What? I asked how much medical coverage for those ON the boat. One said $5K per person the other said $5K TOTAL!!!! The third company I got a quote from said $200K per person ON the boat. That agent said IMO you want more than $5K because that wouldn't cover the dental someone slipping and knocking their front tooth out!
I'm not naive, I know to read the fine print and that policies differ widely but they differed a LOT more than I thought!
Then there's replacement cost and "agreed upon" replacement cost. What have you got? What do you interpret it as?
Before you hit the water this year I respectfully suggest you do the PITA chore of reading the fine print and if in doubt send your agent an e.mail so you have a reply "in writing".
Cheers MT.
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