Can't get Insurance

[oubeta]

We are buying a new FP MY6 44' power cat. We are wanting the entire Caribbean on the insurance, but would settle for all of the Bahama Island chain if we had to.

We had a total loss last year due to a fire. We had insurance with Concepts, but they won't renew us. The claim is closed and paid out.

I've tried just about everything trying to get insurance. We keep getting declined.

We will be keeping the boat in FL at a private residence until hurricane season is over.

Any idea who could get us insured? I have tried 2 different brokers in FL with no luck.

[Tia Bu]

I feel your pain. We got a notice last January from our broker that GEICO was going to drop us this May. So I had the boat surveyed, followed all the broker's advice, and we started shopping.

Had originally planned to sail to Europe this summer. That didn't work out. After months of shopping every bloody company (and broker- and angle) anybody could think of, we got NOTHING. In the end, GEICO decided they would grandfather us in and renew for the US and Canada this year.

We've never had a claim in fourteen years of boating. The excuses we got were that the boat was too old, or not worth enough, or worth too much, or we had too few crew, or too many crew... Bottom line, insurers want to SHRINK their exposure right now, so they want to get rid of customers and not take on new ones.

I'm going to guess you've got two strikes against you: your recent claim and your cruising plans. The Caribbean is especially difficult.

There just aren't that many companies out there still in the market. You may find that you have to change your plans. After trying three or four brokers, it was clear that they were all going to the same handful of companies and getting the same answers.

I am NOT in the insurance business so may be wrong. This is just based on five frustrating months of serious shopping.

[AboutTime1]

Originally Posted by Tia Bu

I feel your pain. We got a notice last January from our broker that GEICO was going to drop us this May. So I had the boat surveyed, followed all the broker's advice, and we started shopping.

Is this on your Jeanneau 40 ? Why ? What year is it ? What kind of coverage are you seeking ?

[Chotu]

Try changing the name everything is under. Hopefully you didn’t get joint insurance and joint everything. Just switch it over to the wife.

[oubeta]

Originally Posted by Chotu

Try changing the name everything is under. Hopefully you didn’t get joint insurance and joint everything. Just switch it over to the wife.

I already asked my broker about that. We did not have joint insurance when it happened, but he said it would come back to haunt me if we had a claim.

[Chotu]

Originally Posted by Chotu

Try changing the name everything is under. Hopefully you didn’t get joint insurance and joint everything. Just switch it over to the wife.

Asked my broker? That’s your first problem.

You need to start the process over again from scratch. Without a broker. And just have your wife do it. Put the boat in her name. You should have two separate identities anyway. It makes all of the stuff like this 1000 times easier. Use different people for different situations. If it was in your name before, you have red flags everywhere. If her name was not on it, she does not appear anywhere. Hopefully you have done that. If not, your broker is probably right.

These companies are dirty businesses playing dirty games. They will cancel your insurance. They will refuse insurance like what is happening to you. They will refuse to pay out. They will fight it tooth and nail. They don’t care about you. There’s no reason for you to care about them.

[Tetepare]

Did you search this forum? This comes up often. Without knowing who’s declined you it’s hard to make suggestions.

Geico should be the last choice, it’s a crap company that screws clients with the fine print.

[JPA Cate]

One of the moderators here has had good outcomes with Pantanaeus (sp?), but in England, not the US.

Ann

[oubeta]

Concepts, Geico (boatus) I know have turned us down. Pantanaeus doesn't insure US flagged boats I don't think, but I will call them.

StateFarm will insure us, but not for the Caribbean, only FL and a little bit of the Bahamas. They quoted $25k. I wonder if any captive providers in CA insure the Caribbean/Bahamas?

I spoke to my claims adjuster about putting everything in my wifes name (boat & insurance), but he thought they would deny the claim if we had any claims pop up. He said that 'trick' doesn't work anymore. He said they are looking for any excuse not to pay the claims now and if you read the fine print, it says something about this.

We are under contract and need to figure out something fast. I'll keep searching. Thanks Guys!

[skipmac]

Originally Posted by Tia Bu

I feel your pain. We got a notice last January from our broker that GEICO was going to drop us this May. So I had the boat surveyed, followed all the broker's advice, and we started shopping.

Had originally planned to sail to Europe this summer. That didn't work out. After months of shopping every bloody company (and broker- and angle) anybody could think of, we got NOTHING. In the end, GEICO decided they would grandfather us in and renew for the US and Canada this year.

We've never had a claim in fourteen years of boating. The excuses we got were that the boat was too old, or not worth enough, or worth too much, or we had too few crew, or too many crew... Bottom line, insurers want to SHRINK their exposure right now, so they want to get rid of customers and not take on new ones.

I'm going to guess you've got two strikes against you: your recent claim and your cruising plans. The Caribbean is especially difficult.

There just aren't that many companies out there still in the market. You may find that you have to change your plans. After trying three or four brokers, it was clear that they were all going to the same handful of companies and getting the same answers.

I am NOT in the insurance business so may be wrong. This is just based on five frustrating months of serious shopping.

I had to deal with the exact same issue. Been with BoatUS/Geico for 12 years, no claims. I think I'll be grandfathered in but strictly at the mercy of corporate bean counters.

Plus planning my trip to Europe, leaving next week. From the advise of a friend I called Susan Coates at Offshore Risk. sac@offshorerisk.com
(305) 743-7711 and got the EU required $1,000,000 liability policy. Did require a recent survey and a few forms and details but all worked out.

[skipmac]

Originally Posted by oubeta

Concepts, Geico (boatus) I know have turned us down. Pantanaeus doesn't insure US flagged boats I don't think, but I will call them.

StateFarm will insure us, but not for the Caribbean, only FL and a little bit of the Bahamas. They quoted $25k. I wonder if any captive providers in CA insure the Caribbean/Bahamas?

I spoke to my claims adjuster about putting everything in my wifes name (boat & insurance), but he thought they would deny the claim if we had any claims pop up. He said that 'trick' doesn't work anymore. He said they are looking for any excuse not to pay the claims now and if you read the fine print, it says something about this.

We are under contract and need to figure out something fast. I'll keep searching. Thanks Guys!

I called Pantaenius and they would insure US boats but only if registered in Deleware.

See previous post for contact at Offshore Risk. But a previous claim might be a problem for them as well.

[oubeta]

I'm actually working with them now! Guy named Dan. He's hopeful we can get it done!

[Montanan]

Originally Posted by oubeta

I already asked my broker about that. We did not have joint insurance when it happened, but he said it would come back to haunt me if we had a claim.

Would said haunting be by your wife, or the broker, or the insurance underwriter?

Just asking.

[Montanan]

Originally Posted by skipmac

I called Pantaenius and they would insure US boats but only if registered in Deleware.

See previous post for contact at Offshore Risk. But a previous claim might be a problem for them as well.

OP states that they intend to keep the boat at a private residence in Florida.

Of issue is that to be stored on the hard or kept in the water.

Florida obviously being within the hurricane zone and thus greatly increasing the underwriters risk exposure will either decline said policy or require considerably greater premium or have a far higher deductible from damage by a named storm.

A boat kept in Florida will need to be registered in Florida, and if Delaware is not the State of principal use then one can't have a valid registration in Delaware.

[Montanan]

If you are purchasing insurance for a vessel in Florida [e.g., at your residence], you will need to work with a broker and an insurance company that are both licensed to operate in Florida. Insurance is a State by State broker licensing arrangement as well as underwriting is State by State.

Very similar say to being a real estate broker, or an attorney, one has to be permitted with each State.

Of issue is when one tries to obtain underwriting beyond the jurisdiction that the underwriter has legal authority to operate. The policies are restricted as to the geographical range of the underwriter's established registrations with the State [and / or country]. One can voyage beyond the range of an underwriter's policy but the coverage stops when you go outside that range.

If one is traveling outside the scope of one underwriter's territory then one needs to obtain a second policy with an additional underwriter that can issue policies within the additional jurisdictions. As to the Caribbean, there are obviously many sovereign countries and thus legal jurisdictions which an underwriter will need to have made arrangements to provide for your desire full territory of coverage.

Insurance is a complex situation.