Insurance

[MN Fisher]

Comparisson

Florida - Population: 21.4 million - Number of registered recreational boats: 935k - 1 boat per 20 people

Minnesota - Population: 5.6 million - Number of boats: 813k - 1 boat per 7 people.

 

Data from

https://www.infoplease.com/us/states/state-population-by-rank

https://www.uscgboating.org/library/accident-statistics/Recreational-Boating-Statistics-2019.pdf 

[Sphynx]

5 hours ago, gimruis said:

 

Lol, that's pretty entertaining, I was just going off of my own observations having traveled both states extensively, had no idea that figures like this were available 

[gim]

I think there are more boats in Minnesota per capita than any other state.

 

Not sure what they classify as a “boat” though. What Florida classifies as one and what Minnesota classifies as one could vary.

[MN Fisher]

7 minutes ago, gimruis said:

I think there are more boats in Minnesota per capita than any other state.

 

Not sure what they classify as a “boat” though. What Florida classifies as one and what Minnesota classifies as one could vary.

This is registrations recorded by the USCG - so it's what the Coast Guard considers as 'recreational boats'.  Since my canoe is registered, it would be in that number.

[islandbass]

On 12/10/2020 at 2:52 PM, LCG said:

I work in insurance (long story, recent career change, please don't hate ) , trust me when I say read the fine print. Theft would be most likely covered under home owner insurance, be sure to have receipts, photos, serial numbers, etc. Some credit cards offer purchase protection and extended factory warranty if you purchased the item with the credit card. Most policies will not protect against wear and tear, accidental damage, etc and if you do find insurance for that situation, have fun with the claim. Also check your deductible and careful when claiming, your rates will increase. 

Great information so thanks for  that. What if you don’t have the receipts? I know some of those receipts the print has faded lol. 

[LCG]

6 hours ago, islandbass said:

Great information so thanks for  that. What if you don’t have the receipts? I know some of those receipts the print has faded lol. 

Just makes it easier to prove. Most will replace at market value, as lins as you have enough evidence that you owned it. Digital receipts are awesome for that reason now. 

[Sam]

When discussing "insurance," which is the transfer of your pure risk of loss exposure on a unilateral basis via an unequal financial contract of adhesion to a professional risk taker, there are two coverages we need to discuss.

 

First is the direct damage to your personal property, meaning the boat, motor, electronics, and tackle. You can either 1) assume the loss by not transferring the risk; 2) limit the exposure by taking your boat out of a secured building and using it very rarely; 3) transfer the risk of loss to a friend or a relative who will replace what you lost or had damaged; or 4) avoid the exposure by not buying a boat in the first place.

 

The second coverage is actually much more valuable than the loss of your property, which has a specific value so you know what your pure risk property loss will be. It is your Watercraft Liability Insurance.

 

I suggest getting at least a $500,000 primary limit and recommend a $1,000,000 limit for third-party bodily injury and property damage. If necessary, and you have the funds, purchase a Personal Excess Liability policy for at least $1,000,000 over and above the primary Watercraft Liability limits and include your personal liability and auto liability in the excess limits.

 

Some homeowners policies will cover your watercraft liability, but most, if not all in today's world of "nuclear verdicts" either excludes watercraft liability or limits the coverage to 50 HP and lower and watercraft less than 26 feet. So check out what coverage your homeowners or renters policy provides, but do not rely on this coverage to protect your assets from an accident on the water.

 

A Watercraft Liability insurance contract is designed for the use of your watercraft and one of its major coverages is removing your sunken boat if it is a hazard to boat traffic if it sinks. This is the only insurance policy that will provide this important coverage. So ask your agent or your insurance representative what you have coverage for, your limits, deductibles (risk assumptions) and if there are any warranties mandating you do specific things to have coverage like having a Power Squadron inspection annually, taking the boat on inland waterways, only, using your boat for specific months, not going on the water based on the weather, etc.

 

Now, a word to the wise when reviewing insurance contracts: LOOK AT THE EXCLUSIONS FIRST! Yes, that's right. Look at the exclusions so you will know what is and what is not covered. Then check out the insuring agreement and the additional coverages the insurance company throws in for free. Do this for all of your insurance policies and if you find an exclusion that gives you heartburn talk with your insurance representative about it.

 

So how much Watercraft Liability coverage should you carry for accidents? Tell me who you are going to hit or what property you will be destroying and I can give you the limits you have to carry. Since we do not know the answer to this question, you get the highest limits you can, just like with auto insurance.

 

There is a big difference if you hit a brain surgeon with your car or boat as opposed to an Alabama fan in a canoe. Sounds funny, but it is true. GET THE HIGHEST LIMITS YOU CAN AFFORD BASED ON THE LIMITS NEEDED TO PROTECT YOU AND YOUR ASSETS FROM LEGAL ACTIONS.

 

Now go and review your policy, noting its exclusions, warranties (very dangerous area), property loss assumptions (deductibles), watercraft liability limits, etc., and consider making changes to the contract.

 

Things happen so fast on the water that a close call can become a disaster in a New York minute. And we do not want anyone on the Forum to find themselves in a serious financial situation by not having enough property or liability limits or to void  your policy by violating one of its warranties to protect yourself and your solvency.

 

Just a few words of wisdom from an ole goat who has been around the block a few times.