Cruisers Forum Insurance ?

[captlloyd]

I see many inquiries about insuring boats and all of the inherent problems and costs. What about creating our own insurance co-op through Cruisers Forum ? There has to be some of you people with insider knowledge of such a proposition. What about getting another/other companies in the coverage, profit aspect of it. It could be full coverage, agreed value, or even liability only. Your options could be insurance only, insurance + profit, or profit only. Seems to me it could work, I don’t know how many members we have but I think a lot. What are your thoughts ?

[Montanan]

FYI:

Boat Owners Association of The United States, better known as BoatUS, is an American association of boat owners offering various services supporting recreational boat and trailer towing activities. Among their services are boat insurance and boat loans, discounts on boating-related products and services, mediation services with manufacturers and dealers, a product recall alert registry, and lobbying organization on behalf of boat owners. The organization is based in Springfield, Virginia, and promotes itself “The Nation’s Largest Recreational Boating Association” and "The Boat Owners Auto Club" for its similarities to AAA.

BoatUS also gave rise to the organization that would be eventually called the BoatUS Foundation for Boating Safety and Clean Water, a 501(c)(3) charitable organization that promotes safe boating and environmentally responsible boating practices.

[Mike OReilly]

Love the idea. But I don't have the interest in doing the hard work required. And it would be a ton of work. Sorry .

But I guess this is why for-profit insurance took over from the original concept of cooperative insurance.

[letsgetsailing3]

Because we know more about boat values and actuarial concerns than the insurance companies?


I don't think so.

[captlloyd]

Originally Posted by letsgetsailing3

Because we know more about boat values and actuarial concerns than the insurance companies?


I don't think so.

It’s not a matter of knowing more, it’s a matter of lowering their take and providing incentives to boaters ( members) that insurers are not willing to provide. Like liability only. We have a lot of members who pay a lot of money every year for insurance who never make a claim.
The mind is like a parachute, it has to be open to function.

[Eder]

I've seen a lot of other peoples boats, no way do I want to be co op'd with any of their tubs.

[captlloyd]

Originally Posted by Eder

I've seen a lot of other peoples boats, no way do I want to be co op'd with any of their tubs.

Maybe you should. If they look that bad do they even have insurance ? And what are you going to do if they break loose and t-bone your boat ?

[sailjumanji]

Seems like every time someone quotes what they are paying, it is a lot more than me. So I'll continue to go at it alone.

Insurance rates factor in the individual owner, as much as they do the boat and the area. Someday people will realize that. Until then, people will continue to be frustrated by some paying premiums of 1% and some paying 4% of assessed value.

[Mike OReilly]

Originally Posted by sailjumanji

Seems like every time someone quotes what they are paying, it is a lot more than me. So I'll continue to go at it alone.

Insurance rates factor in the individual owner, as much as they do the boat and the area. Someday people will realize that. Until then, people will continue to be frustrated by some paying premiums of 1% and some paying 4% of assessed value.

How much do you pay? For what coverage, over what area? What restrictions? And who's the broker and underwriter ... these pieces of information might actually help fellow boaters.

[Island Time O25]

Few weeks ago I attended New England Boat Show with the sole purpose of getting liability only insurance quote on a 40 year old sailboat. Of the dozen or so insurance reps there I spoke with only one who was even remotely interested in talking to me. Another flippantly told me "$1,200-1,400 annual premium", on liability only policy, mind you! The other 10 upon hearing my description of what I needed politely sent me away.

The one who actually spent 2-3 minutes talking to me gave a ball park figure of $700-800 and a recent survey requirement. Not gonna happen at that rate. And probably that $700-800 boat show estimate will end up significantly higher when the real bill comes in.

My point being that IMO there is a pent up need for reasonably priced (say up to $500) "liability only" policies for 30-50 year old boats whose hull values do not make any insurance other then liability only economicaly viable or sensible. I have self insured for the past 15 years and the savings have been more than all the values of all the boats I owned in that time put together. So today I am already way ahead of the game. Except those pesky lobbyists for the insurance industry are trying to skew the free market solution in their favor by all kinds of compulsory coverage schemes.

And no I don't believe I should be paying for the privilege of insuring that $1-2mil yacht which may come in contact with my boat. If you have the means to own such a yacht you surely can afford to insure it yourself and agianst possibility of a contact with a boat like mine.

End of my rant against the insurance mafia.

[Simi 60]

Originally Posted by sailjumanji

.

Insurance rates factor in the individual owner, as much as they do the boat and the area. Someday people will realize that. .

Yeah, I call BS on that.

40 years on water experience
2 small claims over 15 years ago
Not in a cyclone or hurricane area
Do not race
Premium increased 400%

[Bunji]

Originally Posted by Island Time O25

Few weeks ago I attended New England Boat Show with the sole purpose of getting liability only insurance quote on a 40 year old sailboat. Of the dozen or so insurance reps there I spoke with only one who was even remotely interested in talking to me. Another flippantly told me "$1,200-1,400 annual premium", on liability only policy, mind you! The other 10 upon hearing my description of what I needed politely sent me away.

The one who actually spent 2-3 minutes talking to me gave a ball park figure of $700-800 and a recent survey requirement. Not gonna happen at that rate. And probably that $700-800 boat show estimate will end up significantly higher when the real bill comes in.

My point being that IMO there is a pent up need for reasonably priced (say up to $500) "liability only" policies for 30-50 year old boats whose hull values do not make any insurance other then liability only economicaly viable or sensible. I have self insured for the past 15 years and the savings have been more than all the values of all the boats I owned in that time put together. So today I am already way ahead of the game. Except those pesky lobbyists for the insurance industry are trying to skew the free market solution in their favor by all kinds of compulsory coverage schemes.

And no I don't believe I should be paying for the privilege of insuring that $1-2mil yacht which may come in contact with my boat. If you have the means to own such a yacht you surely can afford to insure it yourself and agianst possibility of a contact with a boat like mine.

End of my rant against the insurance mafia.

Couldn’t agree more

[Paul L]

Originally Posted by Island Time O25

Few weeks ago I attended New England Boat Show with the sole purpose of getting liability only insurance quote on a 40 year old sailboat. Of the dozen or so insurance reps there I spoke with only one who was even remotely interested in talking to me. Another flippantly told me "$1,200-1,400 annual premium", on liability only policy, mind you! The other 10 upon hearing my description of what I needed politely sent me away.

The one who actually spent 2-3 minutes talking to me gave a ball park figure of $700-800 and a recent survey requirement. Not gonna happen at that rate. And probably that $700-800 boat show estimate will end up significantly higher when the real bill comes in.

My point being that IMO there is a pent up need for reasonably priced (say up to $500) "liability only" policies for 30-50 year old boats whose hull values do not make any insurance other then liability only economicaly viable or sensible. I have self insured for the past 15 years and the savings have been more than all the values of all the boats I owned in that time put together. So today I am already way ahead of the game. Except those pesky lobbyists for the insurance industry are trying to skew the free market solution in their favor by all kinds of compulsory coverage schemes.

And no I don't believe I should be paying for the privilege of insuring that $1-2mil yacht which may come in contact with my boat. If you have the means to own such a yacht you surely can afford to insure it yourself and agianst possibility of a contact with a boat like mine.

End of my rant against the insurance mafia.

So do you want to run a business where your customer agrees to give you $500 a year and you agree to any liability claim for up to $1,800,000? That's a million liability plus the required 800k spill liability.

That is 3,600 annual premiums to cover one full claim.

[Simi 60]

Originally Posted by Paul L

So do you want to run a business where your customer agrees to give you $500 a year and you agree to any liability claim for up to $1,800,000? That's a million liability plus the required 800k spill liability.

That is 3,600 annual premiums to cover one full claim.

For somewhere as litigious as the USA $1.8 doesn't sound like much.
In Australia its $10,000,000 liability

[Paul L]

Originally Posted by Simi 60

For somewhere as litigious as the USA $1.8 doesn't sound like much.
In Australia its $10,000,000 liability

True, but basic US policies often only offer $300,000 liability coverage. If you ask for $10 mill you'd get an outrageous quote. Goung from 300k to 1 mil is negible cost.
One thing about the US system is that laywers go after the deep pockets. So if you are insured for 300k you get sued for 300k.