➛ ➛ From our list of Stuff we have and use [and do...] in the right sidebar ➛ ➛
Preface: I am not in the insurance business; I'm just a consumer... Therefore I have had several marine insurance brokers [in the USA] contribute to, and vet this page because I am dependent upon those professionals for the integrity and accuracy of what is stated here...
Of course, our preferences outlined below are of our own choosing...
For our marine insurance needs, we prefer working with an insurance broker.
Why? Because brokers represent us; insurance agents represent their company...
The late Al Golden of IMIS created a great reputation [and was an ex-cruiser...] Al earned our business, and IMIS is always competitive... IMIS puts together a policy [Al developed the Jackline Policy for cruisers] to meet our specific needs, and has an ongoing reputation for no fuss claims handling and quick payouts. [Though, thankfully, we have no first-hand experience in this regard...]
Key points for us when shopping marine insurance include:
We specify All Risk [vs. Named Peril] coverage.
All Risk covers everything not on the excluded list; Named Peril tells you specifically what is covered, but not necessarily what isn't. We prefer to not have to read between the lines...
For Total Loss [of the vessel] we prefer an Agreed Value [negotiated replacement price] vs. Actual Cash Value policy [the insurance company's adjuster's estimate of what it is worth after the loss...]
There are no surprises with an Agreed Value policy; you know what you will be paid when the policy is written, and are not at the mercy of an adjuster's estimate at the time of loss.
For Partial Loss [e.g., stolen items, lightning destroyed electronics, etc.] we prefer Replacement Cost [new for old] vs. Actual Cash Value [depreciated value of item(s) to be replaced... often pennies on the dollar...]
Consequential Loss is coverage for resulting hull loss caused by fire, explosion, sinking, collision or stranding even if the initial cause of loss is not covered due to a policy exclusion like wear & tear, corrosion, rotting, etc.
When comparing policies, be sure to only compare the ones that have matching criteria as outlined above, otherwise you aren't comparing similar products. [e.g., Comparing All Risk to Named Peril policies is a common mistake...]
Important things to know about the Marine Insurance industry: [In the USA anyway...]
- Marine Insurance is NOT regulated by State or Federal Government
- The product that you buy has not been approved by anyone
- The price that you pay has not been approved by anyone
- You need to either understand what you’re buying, or commission an agent in whom you can place your trust
- How to get the best Insurance Quote [An informative and detailed article (which is now archived) by a fellow cruising sailor...]
- What Marine Insurance Companies Don’t Want You To Know [More good info from fellow cruisers...]
- Basics about Marine Insurance, and Company Comparisons [Even more good info from fellow cruisers...]
- Practical Sailor Article about Consequential Damage Coverage
- Seeking a new Insurance provider; SV Harmonie [early 2020]
- Insurance Term Knowledge Base [By Offshore Risk Management]