The Marine Insurance Blog

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Since competition is tight in the insurance industry, customers can sometimes be confused on which one to get. The first thing to be considered when looking for the right boat insurance provider is a solid financial stability. The easiest way to check companies on this is through the internet. You can begin scrutinizing those providers with a wide clientele base because this is more or less a good sign. Test their customer relations section. If they respond promptly, then chances are, they have an established system of rendering customer service which more or less will be evidenced by their efficiency and empathy to their customers.
A good marine vessel insurance provider usually has a strong network of claims center that renders swift emergency services and helpful associates and repair people who are there when you and your boat need them the most.

Good news for you sailors out there! Marketwatch.com recently reported that Fireman’s Fund Insurance Company is now expanding its environmentally-friendly coverage to watercraft with a new green Hull and Machinery product. This is the first-ever green insurance available in the marine industry, designed to ensure vessel owners meet new federal environmental air standards with their tugs, ferries, commercial fishing vessels, and offshore service vessels. This new insurance came about because new marine emissions regulations established by the Environmental Protection Agency are creating a potential coverage gap for vessel owners facing major engine repairs. The new federal mandates require upgrades to strict environmental standards whenever older engines require replacement or substantial rebuilding. Unlike most existing hull and marine equipment policies that only cover restoration of damaged equipment to its previous operational condition, the green Hull and Machinery coverage will repair or replace the damaged engine with the most efficient model available to meet federal air quality requirements. In the event of a total loss to one engine, this coverage will also cover a portion of upgrades to the undamaged engine to match efficiency performance.

There are a large number of yacht insurance providers to choose from; although this may sound good for the customer, it can be perplexing finding exactly what you want. The types of plan will vary from one insurance provider to another; finding the right policy can be a chore.

A good yacht insurance policy should have a balance of low cost and superior service; however, do not ever sacrifice quality for cost. There are more intricacies involved with marine policies than other types of cover; deciding on which policy to sign up with can be a troublesome business. However, if you try and use the pointers highlighted above you should find the process a little simpler in finding the right yacht insurance.

Don’t weigh yourself down with the intricate details of every policy at this point; researching the finer details of each policy is easier when you have produced a smaller list. Carrying out these simple suggestions you should help with your final decision; the last thing needed after signing the policy is too find there’s a problem with the marine insurance company.

BoatUS Opens its Insurance Claims Files

Alexandria , Va. , Dec. 6, 2007 - A study of 100 sailboat sinkings from the BoatUS Insurance claims files could help prevent your sailboat from becoming a statistic. “The sinkings were found to be divided evenly into two broad categories – those that sank at the dock and those that sank while underway,” said BoatUS Marine Insurance Technical Director Bob Adriance.

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Skuld is a leading marine Protection and Indemnity (P&I) and Defence insurer based in Oslo. It provides mutual insurance cover to shipowners and charterers through its branches in Bergen, Copenhagen, Hamburg, Hong Kong, Moscow, New York, Piraeus and Singapore. As an association nearly 111 years old, it remains centered in Northern Europe and controlled by Scandinavian business, but expects to grow in Greece and Asia. Since the beginning of the 21st century, Skuld has gone through many changes, including a major restructuring, which have led to positive results: the current Standard & Poor’s rating is a very good A- (outlook stable). Named after the goddess of destiny representing the future in Norse mythology, Skuld is for the forward-looking merchant fleet.

The week is not even through, but several incidents involving seafaring vessels have been reported since Sunday the 8th. Lives have been lost, injuries sustained and losses incurred as a result of these cases, most of which could have been prevented. Among them are the sinking of an overloaded tour boat in Mexico, an attack on two vessels of a petroleum company in Nigeria, a cargo ship fire while in port in India, a diving boat that took on water in North Carolina, a sailboat that overturned in Texas, the sinking of a crab vessel in Canada, and a supply vessel fire in Singapore.

Underwriters are not obliged to make advance payments for repairs or pay contractors directly, except in special situations. They will compensate the boat owner for the costs of the loss to pre-accident conditions. However, the owner shoulders the costs in the first instance.

Whenever possible, contact the insurance company before accepting salvage services from another vessel. When this is not practicable, as in many cases, accept only if the offer appears reasonable and if the terms are clear. Otherwise, leave remuneration and binding contracts for later. Signing a Lloyd’s Open Form Salvage Agreement should only be a last resort.

After the claim form, estimates and Surveyor’s report are reviewed, the insurer will report to the Underwriters. You will then be advised of their response. Once the estimate is approved, you may proceed to repairs. The boat owner is responsible for arranging and paying for the recovery and repair of your boat, and checking the repair work. Further damage or delays are not covered by insurance. After the repairs are finished, the paid invoices should be submitted to the insurance company, after which the reimbursement will be arranged.

If a third party makes a claim against you, do not assume liability either verbally or on paper, or reach an agreement with the third party without seeking the approval of the insurer.

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Even if your boat is insured, you as an owner have the responsibility of securing your property. In the event of an accident or damage, boat owners of insured vessels have every reason to remain calm, as your marine insurance company will strive to deal with the case fairly. Here are tips of what to do after loss or damage.

Inform your insurer as soon as possible. In case of theft or a malicious third party, inform the police. Fill out and submit the claim form immediately, attached with repair estimates. A Marine Surveyor may contact you to advise on repairs and make a report.

The Container Owners Association calculates that a fully loaded 20-foot dry freight container will float because its volume displaces 83,000 pounds of water, more than its weight of 30 tonnes or 66,000 pounds. Mathematically, it would float with 18 inches sticking out of the water. However, if water enters and increases the weight to over 83,000 pounds, the container will sink. Floating containers were previously shot at or exploded to sink them and reduce their danger to ships because this was less expensive than salvage costs for towing and recovery. This is now illegal because of the pollution risk it poses.