Boat Insurance

[joreyn]

Boat US is basically a trade association for boat owners. They provide a variety of membership benefits. Similar to AARP. And like AARP, thery contract with insurers to provide insurance coverage on a group basis for their members. AARP contracts with Hartford.

Both Seaworthy and GEICO are owned by Warren Buffet's Berkshire Hathaway. So evidently the contract has been shifted to GEICO. I would be careful about this. Geico typically provides a "Boatowners Policy" which is similar in most respects to an auto insurance policy. They are typically written on an Actual Cash Value basis (ACV). ACV is basically "blue book value." Most Albin owners will want Agreed Amount coverage which is basically going to pay you what you and the underwriter agreed to insure the boat for when you bought the policy. That is in the event of a total loss to the boat. Boatowners policies (as opposed to yacht policies) may not have coverage for pollution. They may not have coverage for sudden and accidental damage to the boats equipment(engines, transmission, etc). You definitely want Agreed Value.

I strongly recommend that you find an Independent Insurance Agent or Broker who writes yachts. I am such a broker. For my own 36 Express Trawler I have roughly $200,000 in coverage for just a bit over $1000. It is through an excellent regional insurer that specializes in yachts among other things. Its about $600 less than Boat US as well as Travellers. ACE and Chubb are higher still, as are the direct writers like State Farm, Allstate and Farmers.

Point is, you can get a high quality yacht policy written on a Marine Insurance form (which includes Agreed Amount, Pollution, equipment damage, sue and labor ( haul the boat out to prevent damage), and other advantages for less than the typical Boatowners policy. The only advantage Boatowners policies typically offer is coverage for towing the boat on a trailer. This is more advantageous if you have a ski boat or a small fishing boat that you keep on land.

[irishwake]

Thank you for all the input on boat insurance. I have had other companies offer boat insurance since I posted the post. Some want new surveys at a cost of about $1100 which would take me three years to break even, so that's not an option. Other companies wanted more money then I am paying now. So it would appear I will be staying with Geico at a cost of $2300.00 annual premium with an agreed value replacement. Although one company came in at $1500, they did not have a very good reputation, so I passed on them.

[RobS]

Premiums are location based so tough to compare across the forum with other members around the country, etc..

[joreyn]

Very true.

[Serenity]

My Encompass policy came up for renewal and the increase overall was $600.00 However, that was for 2 cars, home and boat. My broker searched around and put me on to Travelers and saved me the $600.00. On the Brightside, my boat insurance went from $781 down to $616 for agreed value at $52000.00. No survey. As they say, insurance is legalized gambling.

[Nancy]

I've just received the renewal from BoatUS/Geico. Premium went up 10%. Policy is still agreed hull value.

Just another data point

[gfuller]

I've been with BoatUS for the last few years as well. I noticed this 18% jump as well and heard the same response "everyone is raising the prices". In addition, when I went to insure the new boat i got a quote for the appraised value of my boat ($10k more than what I paid). I wanted to insure it for this and got the quote ($1100). I then called to finalize things on the phone. They said to insure it for appraised value it would take longer as they needed to review the survey etc... I had to ship the boat and did not want it uninsured so I purchased the policy for what I paid on the boat. Turns out this was the SAME price as the policy I had gotten a quote on just days earlier for $10k less. I went back and got another two quotes and it seemed the prices has jumped hundreds of dollars in just a matter of days. I'm wondering if this is one of those airline booking scams where they jack the price up when you are about to check out....

I'll definitely be shopping around for new insurance based on principal. I think their insurance is good, but it's gotten a lot more expensive and seemingly shady since Geico came into play.

Just my 2 cents...

[Nancy]

Gfuller, I think it would be worth a phone call to BOAT/US asking them to review the situation. If you don't get a good answer from the first person you speak to, ask to be transferred to an underwriter. I'll be interested to hear the outcome if you decide to go this route.

[gfuller]

Nancy, I'll give it a try as it's still quite fresh. I just hate confrontation and arguing over $$

[Nancy]

Nancy, I'll give it a try as it's still quite fresh. I just hate confrontation and arguing over $$

It doesn't have to be a confrontation. You can say that you recently got a policy from them and there was some confusion in the process that you'd like to sort out and understand.

[gfuller]

It's an old thread, but regardless of the price increase - I recently made a claim for around $5k and it was a very smooth process. I'll stick with them based on their customer service. First claim I've ever made BTW and that's including cars, house, boat, everything!

[Bearkeley]

I read a post on marine trawler owners association that the Boat US / GEICO policies are also now depreciating all boats over 20 years of age. Since I have an '84, I have looked at the policy and the addendum sand it does look like they changed the language in depreciations.....MTOA members seem to have a deal where this won't apply. I'm getting further clarification and can share what I learn if anyone is interested.

[Sprig1]

Hi Mary Jo I be interested in what you find about the insurance. Basically we have the same boat. Boatus was around $275.00 but would only insure for $9500.00. I think it was book vale. they would up it to $15,000 with a survey. I'm up to the point of getting my boat in the water. Thanks for the help. Hope to see you on the water sometime. Chris

[DesertAlbin736]

BoatUS switched to GEICO as their carrier a year or two ago & dropped the requirement for recent surveys. We just renewed our coverage for the 2nd year in April, $226 annual premium, no prior claims.

Coverage limits on our policy:
Hull & Equipment: $20K (on a 46 year old 25 foot boat), 1% or $250 min deductible
Commercial towing $250 (I also carry BoatUS Unlimited Gold membership with boat & trailer towing coverage)
Liability: $300K
Fuel Spill $939K
Longshore Harbor work comp (?) $300K
Boat trailer $2,000, $50 deductible (trailer is 18 years old)
Uninsured Boater. $300K
Mine does not have 'Agreed value" coverage on this policy, just "hull & equipment" of $20K.
Ya pays yer money and takes yer chances in that respect.

I don't carry ice/freeze coverage, since we don't get hard freezes here at our home port in metro Phoenix area.

Insurance premiums in general have been ticking up lately across the board. Our homeowner insurance went up by 8.3% this year, with no history of prior claims, and is still the cheapest rate I've been able to find, even compared to USAA. A side effect of climate change/severe weather related natural disasters no doubt.

[Serenity]

Hurricanes and Noreasters most be rare as well.