We were insured with Edward William Marine Services, underwritten by Northern Reef in 2007. For AUD 275,000 cover we paid AUD 2000, which was less than what we had paid for Australian coastal cruising.
In August 2007 we hit a reef in the Louisiades, PNG. We managed to drag the boat over the reef (steel!) and sail back to Cairns, Australia. We lodged our claim and were assigned a loss assessor. He sent a surveyor
up from Brisbane
to inspect the damage and advise the potential repairers what was and was not allowed.
Only one company quoted to do the repair, this was accepted by the surveyor
and loss assessor. THe quote was AUD 90,000. Then we got a shock: the loss assessor said ours was an indemnity policy and that we would have to pay first and get reimbursed later. Nowhere could we see that the policy was indemnity.
After we paid for 50% of the repairs
, we got 2/3 back as EW had sold part of the policy to another company. After we paid the final invoice we had to wait about 2 months before we got paid.
We didn't use EW in 2008 because we were in Australian waters. When we were leaving Darwin in the Indonesia
Rally, we re-insured with EW. This time the premium was over AUD5000 for AUD275000 cover
Now 12 months later I got the renewal notice, again for AUD 5000. I also got a quote from another company which is fully comprehensive for AUD 4500. When I told EW that I had a better quote, they dropped the premium to AUD 4000.
I am currently considering another company, but it seems like they are also indemnity type, more information required.
So, Yes, Edward WIlliam Marine Services did pay out on our claim.
"Meridian of Sydney"