Cruisers Forum
 


Join CruisersForum Today

Reply
 
Thread Tools Rate Thread Display Modes
Old 20-10-2012, 05:03   #1
Senior Cruiser
 
JusDreaming's Avatar

Cruisers Forum Supporter

Join Date: Jul 2004
Location: Stuart, FL & Bahamas Cruising
Boat: Lagoon 37
Posts: 880
Images: 13
Fair Market Value

We just had a insurance survey and the surveyor came in with a low fair market value price IMHO. He said he could only find one similar boat that had sold and based the price on that. So how important is this price designation? Should I even worry about it!!!!!!!!!!!
__________________

__________________
Denny and Diane
Lagoon 37
http://www.svjusdreaming.bravehost.com/
http://www.sailblogs.com/member/svjusdreaming/
"The only way to get a good crew is to marry one." -Eric Hiscock
JusDreaming is offline   Reply With Quote
Old 20-10-2012, 06:10   #2
Moderator Emeritus
 
GordMay's Avatar

Join Date: Mar 2003
Location: Thunder Bay, Ontario - 48-29N x 89-20W
Boat: (Cruiser Living On Dirt)
Posts: 31,592
Images: 240
Re: Fair Market Value

It could be very important!
If you have “Fair Market Value” policy, this will be the maximum amount your insurance company will pay for a total loss.
Your “Cost of Replacement” is usually much higher than fair market value.
__________________

__________________
Gord May
"If you didn't have the time or money to do it right in the first place, when will you get the time/$ to fix it?"



GordMay is offline   Reply With Quote
Old 20-10-2012, 06:58   #3
Marine Service Provider

Join Date: May 2012
Location: New Orleans
Boat: We have a problem... A serious addiction issue.
Posts: 3,940
Re: Fair Market Value

I'm with Gord. For insurance purposes FMV is the max that a policy will pay. I always prefer replacement value policies since they will actually allow you to buy what you have in the event of a total loss.

If the surveyor can't find more than one boat of the type that has sold, then I would argue that replacing it will be difficult and expensive, since there are so few of them out there...
__________________
Greg

- If animals weren't meant to be eaten then they wouldn't be made of food.
Stumble is offline   Reply With Quote
Old 20-10-2012, 07:16   #4
Senior Cruiser
 
colemj's Avatar

Cruisers Forum Supporter

Join Date: Oct 2005
Location: Presently on US East Coast
Boat: Manta 40 "Reach"
Posts: 10,049
Images: 12
Re: Fair Market Value

If the value is equal or greater to that which you want coverage, then no problem at all.

Mark
__________________
www.svreach.com

You do not need a parachute to skydive. You only need a parachute to skydive twice.
colemj is offline   Reply With Quote
Reply

Thread Tools
Display Modes Rate This Thread
Rate This Thread:

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off




Copyright 2002- Social Knowledge, LLC All Rights Reserved.

All times are GMT -7. The time now is 13:25.


Google+
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.
Social Knowledge Networks
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.

ShowCase vBulletin Plugins by Drive Thru Online, Inc.