HOUSEBOAT INSURANCE

Scott

Member
Desertman -- I just found myself in a similar situation -- My understanding from Warner Gleave is that American Reliable is no longer going to insure water crafts after 01/2020. Markel will insure a steel hulled boat if it is kept at a slip -- I spoke to Executive Services today and they have very limited slip / covered or non covered available.

Executive Services recommended American Marine Insurance -- I am filling out a form from them and will let you know the outcome -- Perhaps you have found insurance ?
Any luck with American Marine insurance?
 

sphoppie

Member
Gentlemen,

I spoke with the CFO of American Marine Insurance yesterday to get a better understanding of the markets that can be offered for Steel Hull houseboats. Currently there is only one carrier that will write steel hulled houseboats with fractional ownership's and that is Markel. American Reliable is pulling out of the boat insurance business all together according to AMI. AMI is currently working with another carrier to take over all the business American Reliable was writing, but there is not a program in place yet. If you are a single owner of a steel hulled boat there is several carriers that will write it.

if you have any questions please shoot me an email or phone call I'd be happy to go over it with you.

Stevie Hopkins
520-235-6989
Stevie@tucins.com
 

Richard

Well-Known Member
My Kayot is 42' and is in dry storage during the winter months. I have tried Stevie -- he is working on it for me along with one other agent-- but I think they draw from the same source. I have a bad feeling about this.

I can get insurance if we launch and retrieve each time or if I rent a slip - but it cannot be stored on a buoy even if its for the season (6-7 months) -- which we have done for the last 20 years - - I will probably go with the slip option if the buoy option is out but it was nice being on a buoy -- Try to figure out what to do this year but the writing is on the wall -- I might keep my eyes open for a aluminium hulled boat and take the two three year old engines off the old and re-install--- or ---

Thanks for your reply -- much appreciated

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Pegasus

Well-Known Member
This comment may not be relevant to this thread – houseboat insurance, but it is very relevant to older boat insurance; thus, some of you may find my comment of value.

A few years ago, when Geico took over the Boat U.S. Marine Insurance program, they significantly changed the coverages of their “Yacht” policy regarding older boats (defined as a hull that is more than 20 years old). Primarily, they changed how they define “depreciated value.” And the change significantly lowered the potential for a claim to be paid on the policy, but unless you read your policy every year, you probably didn’t know it changed. And the premium rate, of course, still went up.

Under the “old” policy, if I hit a rock in my over 20-year-old boat, the “Yacht” policy would pay for the repair less my deductible. Under the “new” policy, if I hit a rock in my over 20-year-old boat, the depreciated value is ZERO, and no insurance reimbursement will be made to me! NONE! Essentially, they now consider any claim that is not a ‘total loss’ depreciable, and any part of that claim for damage to a part that is over 20 years old is not covered as it is fully depreciated.

So, if I have a partial loss claim because I hit a rock and tear up my propeller and fiberglass, nothing is paid to me to repair the damage as the propeller and fiberglass are over 20 years old. I could easily see a +$20,000 repair to my hull and running gear if I hit something, and this would NOT be a covered claim.

But, if I have a “total loss,” the “agreed value” as noted on my policy will be paid.

In a nutshell, I have great coverage if my boat sinks, but I have little to no coverage for a partial loss, which is far more likely to occur.

I do not know if houseboat insurance is similar, but for those of you with “old” boats of any type, it is worth looking at your policy to see how depreciation is handled so you are not surprised with a big dollar bill when something happens in the future. I did check with other insurance carriers and they handle depreciation the same way as the Geico Boat US policy I’ve described. It seems the old Boat US program was kind to old boats, but those days are gone and definitely increases the potential out of pocket risk of owning an "old" boat.
 
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Ryan

Well-Known Member
I'll go back on what I posted earlier about not going into details.

When our group had a total loss, Markel took over 4 months to pay out. I remember one of the tactics was that they wanted to have 3 repair quotes on the boat - they didn't care that there isn't a SINGLE facility within a couple hundred of miles that could or would do the repairs. But of course they wouldn't pay for transport.

Then when they finally did pay, they exercised their "right" to not claim the remains of the boat. That actually worked out ok as I was able to sell the boat to someone who could rebuild themselves, but I am not sure you would be that lucky with a steel hulled boat.

The good thing I will say is that I don't remember having any difficulty with them paying for the on-water salvage operation. I don't think I ever saw a bill from Aramark or NPS.

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