This question is too important for opinions... No offense.
Yes, be totally upfront, even forthcoming with the insurance company.
They will ask several questions these days and call them qualifying questions or in the industry we called them black box questions. The agents on the phone
just fill in the apps but many insurance programs with black box qualifications on the application deny many claims... Many... For innocent seeming embellishments on the application.
What's the largest boat that you have sailed?
Have you cruised these waters before?
How many years of experience do you have?
Have you had any moving violations?
Seems like an innocent rounding up might help your cause. Claims departments are really good at finding faults in your application when a big claim comes in. They are happy to assume that your statements are true and take your premium until that claim comes in... Then the application can be scrutinized and legally the policy is unwound as though it never existed when you need it most... When there is a claim on file!! At this point it is impossible to get coverage for that claim... You can apply for coverage elsewhere, get a certificate but they will not pay a claim that you had prior knowledge of... You will be on your own.
Rather than pay the claim they highlight the part(s) of your application that don't match their research
... They say the app and policy are nullified and deny the claim... They do return your premium paid since the app even if it is 10 years worth if necessary.
There are many reasons why this is legal
and happens every day... Too many to mention.
Before the black box phenomenon if you were paying premium and the incident was covered or sometimes even not specifically excluded from your policy the policy would cover up to the aggregate if necessary... Now they might pay...
I go into painstaking grimy details on insurance apps when I am applying... I'd rather pay a few bucks more for a policy that actually will pay rather than save a few bones on a policy that might pay.
Many times you will also see attractive premiums on insurance "coverage"... Note not "policy"... I would read the fine print very very carefully and only go with an insurance policy...
Some agents think the terms are the same... I would give an example or two of coverage scams but their websites are literally gone!!! Right before they disappeared they were offering unbelievably low rates for great COVERAGE... Not just fly by night shops either... I saw an annuity ad once from
A monstrous American financial company... Outrageous financial product for sale
... $1000 minimum investment... Instead of the usual $5k... Lock in today!! They mopped up alot of Americans retirement
money... They ran the ad everywhere possible for 30 days right up until they closed the doors and anyone who bought that product lost
all. All. Yes all... $1000 minimum for the value was outrageous and the most aggressive campaign they had ever run and people trusted the name... It seemed as though this product was designed from the ground up for maximum acceptance with low barrier to entry and a 30 day lifecycle... The architects of the program must have known that the company was folding during that last 30 days... Dirty!
Choose a reputable company... Ask them what to put for permanent mooring, etc. We have no idea how the policy is written or what the exclusions are... No one can guess and in my small experience many many people who think they have insurance don't! They will find out when the claim comes in.
These points are WAY more important with Life policies, business ins and personal property is lower on the list...
Quick note on your life policy... Some policies exclude covering individuals that do certain activities... Scuba
, paragliding, hang-gliding, bungee jumping, rock climbing... you need to disclose these "high risk" activities or all of that security
for your heirs WON'T PAYOUT!
Is sailing and issue with your life policy?
If you are not certain if you are properly insured You should consult a professional and make sure that you are in the right policy.
One last quick note... Some states have this piece of law that might prevent a life policy from NOT paying out for errors ommissions on your app IF more that 2 years have passed since you made the faulty statement or omission and you are still alive without defaulting and continue to pay premium on time. so, under proper counsel, the best thing to do MIGHT be nothing but it is a good idea to make absolutely sure.