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Category Archives: sail boats

Most common boat claims

Posted on December 2, 2013 by Scott Smith
Owning a boat has its risks. 
In general, the biggest risk comes to the bank account.  At least that’s in my personal experience, owning a boat always seems to costs me money.  Of course, so does a Harley, Cessna or anything else I own. There is always a never-ending list of improvements and gadgets that I want to add.  And if I don’t add things to the existing boat, there is always another boat around the corner I want to buy. New or used the “risk” is there. 
So think you can save money by not adding anything new to your boat?  Sorry doesn’t work that way.  Even if you don’t add or change things on your boat, there will always be regular maintenance items that are the result of age or wear and tear. There are also a few fixed costs that boat owners cannot get away from.  Slip or mooring fees and insurance are just a couple. No one but the owner pays these types of expenses.  They are part of the risk of owning a boat. 

Maintenance is necessary and vitally important to maintaining the value and safety of the boat. It is also something that can’t be covered by warranties or insurance. There are a few things that are covered under the warranty that may be construed as maintenance, but typically, warranties are good for defective manufacturing or assembly of your boat, motor and accessories.  If it is a problem that results from regular use (wear and tear) or recommended service intervals…it is not going to be covered by a warranty.  Sure there is always that chance that the local dealer might include free oil changes or tune-ups for some limited amount of time. But that’s not a typical warranty.

Time to make a shameless plug and tell you to buy my book, “Ultimate Boat Maintenance Projects”. Published by Motorbooks International and available at book stores or directly from SkySmith. Okay, good maintenance wont protect you from everything, but it sure will help.  I also think that doing some of your own maintenance will make you feel more comfortable as an owner. Learn how and do basic maintenance as an owner,m its good for you!  Want to know more, go to one of my seminars at a boat show in your area.  Not speaking at your boat show?  Maybe you should get them to invite me! Okay, off the soap box. 
Anyway…Insurance, (often defined as the transfer of the risk of a potential loss, from one entity to another, in exchange for a reasonable fee) is sometimes expected to pay for these regular expenses.  Well, let me remind you that wear and tear and maintenance are not covered by insurance. 
Many people try to have regular maintenance items covered by insurance only to be disappointed when the claim is denied.   Items like frozen and cracked engine blocks, overheating damage, even the failure of the bellows will not be covered. The cause (poor service, lack of antifreeze, etc) won’t be covered but the resulting sinking or fire may be. That’s the key. Let me try and clarify this again, the accident and the resulting damage should be covered, but the cause might not.  An example could be the deteriorating bellows on a lower unit.  If the bellows dries out and cracks it could leak and the boat could sink.  The bellows would not be covered, but the damage that results from the sinking probably would.   Okay, seems pretty gray, which but that is just the way it is.
So what are some of the most common claims?
There are a few claims that keep popping up.  One marine insurance claim department I contacted felt that about 80 percent of their claims are the result of hitting a submerged object.
Think about it.  The more storms there are, the more rivers that flood, the more stuff is floating in the water and under the surface. Submerged objects will result in damage to lower units, propellers, keels, and hulls.  Sometimes sinking does occur. If you think or know you hit something, make sure you check bilge area and monitor the bilge regularly to make sure there is not any damage that could result in submersion or, in other words…sinking.
Using information from marine insurance claim departments and organizations like Boat US, a few of the other common claims I discovered are:
Theft of assorted boat equipment and parts (portable or permanent).  Items like out drives, electronics, outboard motors, and trailers are some of the most popular parts.  Leaving the trailer unattended in the parking lot or the cockpit uncovered is an invitation for a thief.  Check your policy, many do not cover items stolen from your boat unless it was permanently attached or in a locked compartment. 
Grand theft boat.  Snatching the whole boat is another big claim.  While there are cases of theft from a slip or mooring, trailer-based boats are the ones that are usually turned in on a claim. Boats, like cars, are often stripped and the parts sold a piece at a time.  Remember the phrase “the sum of the parts is worth more than whole” well that’s true with boat parts.  Plus if you take all the parts off the boat, the parts are harder to track down. 
Collision claims.  Collisions with anything are bad.  Collisions with pilings, docks, and other boats can be deadly.  Collisions are not the same as hitting submerged items. Collisions are just that, colliding with something else either moving (another boat) or stationary (like a dock).  You can help stop collisions by watching where you are going, learn the rules of the area and use your charts.
Grounding or running aground.  Most claims departments indicate that often more damage is caused by trying to accelerate through the sand, mud or rocks than by just stopping and waiting for help.  Using a tow service or an alternative method to get unstuck like air bags, reduces the risk for further damage. . 
Now is a good time to repeat – carry up-to-date marine charts and plan your cruising routes to avoid accidental grounding.
A few of the less common but still important claims mentioned are:
Lightning strikes. Being the one of the tallest things on the water during storms is bound to result in a lightning strike.  Lightning usually “fries” the electronics, puts holes in fiberglass and starts fires.  It is a hard thing to prevent.  Best way to reduce the damage is to ground the boat so the current has a way to pass through to the ground.
Damage from docks.  Wind, weather, and hurricanes, can cause chafing, damage to rub rails and hull joints and even rip cleats out of the decks.  Get in a habit of moving the boat to a safe harbor or new neighborhood when bad weather is imminent.  Learn to tie up securely, use high quality dock lines and fenders.  Last year was bad for the hurricane states.  The underwriters are already increasing rates and reducing or eliminating territories and coverage’s. 
There are a few claims relating to fire and explosion. Often the cause is from bad wiring, fuels leaks, overheated manifolds, and even bilge vents not being used or being blocked. These claims can be reduced or eliminated just by taking part in a good preventative maintenance plan.
Occasionally there will be a boat that sinks from bad through-hull fittings, damaged sea cocks and the bilge pump being blocked and/or the back up bilge pump and warning system being inoperative.  Occasionally a storm with lots of heavy rain or combined with a lightning strike can short the boats battery preventing the bilge pumps from working.
Of course, the list above is not inclusive.  There are all sorts of variations along with different levels of each type of claim.  Even if you take all the precautions, accidents do happen. Boat owners buy insurance to transfer the risk to the insurance company for those unexpected catastrophes, so make sure you have the right coverage for your vessel and you implement a preventative maintenance plan to help reduce potential claims.  
Posted in Boat claims, Boat Insurance, boat maintenance, Boat shows, boating, boating safety, boats, Insurance, Motorbooks International, power boats, sail boats, sailing, Ultimate Boat Maintenance Projects |

Getting the most out of a boat show.

Posted on October 21, 2013 by Scott Smith

First you have to ask yourself why you are attending a boat show (or any show for that matter).  Are you attending as new buyer looking for a new boat?  On the other hand, are you attending as an owner looking to upgrade what you already have or just add on to your equipment?  Maybe you are a manufacturer or dealer…. that is a completely different reason.

I am always looking for a location that I like to visit.  I like the local shows but that is not the same as taking a trip to a distant location and using it like a working vacation.  (Just don’t tell my wife how much fun these shows are!)

Probably best to decide why you are at the show and establish an agenda for the time you will be attending.   Reviewing or looking at a boat can take a significant amount of time.  Plan your time accordingly.  In most cases you will want to look over the boat, listen to the sales pitch and, if possible, try it out on the water.

Because it will be a time consuming experience, do a little research ahead of time.  Review models and manufacturers that you have an interest in, on the manufacturers website or at a local dealer.  Go to the website for the show or event you will be attending and get a copy of the exhibitors list.  Review the exhibitor list and rank the manufacturers or dealers by your interest.  It sounds like a lot of work but if you prioritize the models you want to see, you can spend less time wandering the exhibit hall and more time shopping.  You will also find that you will probably have more time to leisurely enjoy the show once you have achieved your “requirements”.

If you are looking at products or upgrades to your existing boat, it is a variation of the same agenda.  Look through the exhibitor lists and develop a plan and route through the exhibit hall.  It is also important to keep track of other things that might be of interested as you are looking at the exhibitor list or walking around.  You can always come back to a booth or visit the company’s website later (or back in your hotel room!).

If you are attending a show that is or has an in-water portion, check the weather reports.  I hate attending a show with the intent of getting an in-water demo and have the weather be cool, windy or raining.  Although, if you want to check the rough water capabilities of a few of the boats look for a day that can provide you with the right experience.

It is also important to go to shows that have what you want.  Why waste precious shopping time at a Strictly Sail Show if you are looking for a new powerboat?  Save the other areas for that extra time, after you have completed your visits to the required list of vendors.

If you are interested in education (seminars, forums, certification classes) make sure that you get the newest schedule of events right when you get to the show.  I have attended a number of shows that have had last minute changes due to weather, speaker schedules and room availability.  Last minute adjustments are not unusual.

One thing to remember about boat shows, you only have a limited amount of time to attend the show.  You might not be able to see everything in detail, even if you go every day the event is open.  However, if you follow a schedule to see the things you want, you should have extra time to see the rest of the show.  Once you have covered your list you can wander through the rest of the exhibits.  Prioritize, write up an agenda, follow it and enjoy the show.  Hope to see you there!
 

Posted in Boat Insurance, Boat shows, cruisers, fishing boats, Miami Boat Show, pontoon boats, sail boats, Seattle Boast Show, Strictly Sail |
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