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.
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.
Image by gjofili
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.
Just how much cargo is lost at sea? Estimates vary between 2,000 to 10,000 containers every year. Accidents due to human error and natural disasters can happen unexpectedly. Everything that could go on a ship could be lost, from cars to spare parts. Some, however, manage to float to shore, including rubber shoes and rubber ducks. The consequences are not only economic; they are also environmental costs. Oil and dangerous materials are transported by sea, posing serious harm to marine life when spills occur. Piracy is also a possibility and there are fears that pirates and terrorists are teaming up. In the next few posts, we will take a closer look at container shipping.
Image by Xavier RiveraÂ
The World Cruising Club is circumnavigating the globe this very moment. They started from the Caribbean in January and are presently in the area of the Cook Islands in the Pacific. Sailing around the world is the dream of many a sailor, and it is an great accomplishment in its own right, as the oceans of the world are vast expanses that demand competent crews. World ARC has been running events such as this for the past 20 years and have plenty of experience in ocean sailing. There is weather and routing advice, and yacht positions are tracked and updated frequently. There are required safety and communications equipment, and potentially unsafe areas are avoided. The fleet should reach Fiji in July, Mauritius in October and Cape Town in time for Christmas. The rally ends in March 2009.
Admiral Boat Insurance provides a quick guide to laying up ashore in the Carribbean. The company provides hurricane insurance provided the boat is laid up adequately.
The hurricane area is from the Venezuelan Coast and Trinidad to Cape Hatteras and the hurricane season is from June 1st to November 30th. Best practices point to a fabricated steel cradle for the boat and tying it down at a minimum of four anchor points with heavy duty webbing tensioned by ratchets. The boat should also be tied down to the cradle or anchor points. Sails, biminis, spray hoods, dodgers, and cockpit and boat covers must all be removed. If possible, the mast should be unstepped and stored in a mast rack.
Image from www.admiralyacht.com
There’s nothing like the freedom of the open sea and the friendliness and spirit of fun fellow sailors share. However, one must always be aware that boats and ships can be easy prey to pirates who are armed with AK47s from the black market and onboard very fast boats. The Strategy Page outlines six helpful rules of thumb on how to spot pirates at sea. To make it simple to remember, think of the acronym BBCFFW.
Birds. Fishing boats usually are accompanied by little clouds of sea birds; no birds, no fish, and that means pirates.
Boat Size. Most pirates, whether in the northwestern Indian Ocean, off Somalia, or in the region around the Straits of Malacca, are using relatively small boats, essentially the same size as used by the local fishermen. So if a couple of fishing skiffs try to approach you, watch out. And be especially careful if they’re moving at a good clip. That’s because ordinary fishermen are loath to open up their engines, since fuel is money.
Crew Size. Most fishing boats have at most three crewmen. If there are more than that in a boat, or in nearby several boats, it’s likely that someone’s up to no good.
Fishing Gear. If you don’t spot nets or other equipment associated with fishing, the boat may be looking for bigger game.
Fishing Grounds. Even in the relatively undeveloped regions where piracy flourishes, local governments usually maintain websites identifying fisheries, particularly those in their exclusive economic zones. If you spot fishing boats far from any of these, caution would be advised
Weapons. Even if there are only two or three guys in a boat, if they’re waving weapons around, it’s probably a good idea to avoid them.
With these hints, it should be much easier to spot pirates from a good distance. If it is not possible to outrun them, seek help from other craft nearby. As they say, there is strength in numbers.