Archive for the ‘Watercraft’ Category

A Tale of Two Exclusions

Posted on: No Comments

When it comes to insurance policy language and exclusions, most would assume less is better. That is, a briefly worded exclusion probably excludes LESS than a more lengthy one. When it comes to Marine Insurance this isn’t necessarily the case. Consider the two exclusions in the box below. At first glance, one might assume the shorter exclusion on the right is likely to be less restrictive.

Part D: Property Damage Coverage2. EXCLUSIONS: We do not provide property damage coverage against or resulting from:

a.wear and tear, deterioration, mechanical or electrical failure, improper repair, corrosion, weathering, insects, mold or mildew, animals, vermin, or marine life damage. However, this does not exclude a consequential loss to your Boat resulting from the burning, collision, demasting, sinking, or stranding of your Boat due to the losses otherwise excluded in this Part D: Property Damage Coverage, Section 2a;


Part D: Property Damage Coverage2. EXCLUSIONS: We do not provide property damage coverage against or resulting from:

a.wear and tear, deterioration, mechanical or electrical failure, improper repair, corrosion, weathering, insects, mold or mildew, animals, vermin, or marine life damage.


What’s the difference between an on-line insurance provider and an insurance agency?

Just as one might use a CPA to prepare their income taxes or an attorney to help them with their estate planning, many choose to use an insurance agency to write their insurance policies. This choice is mainly made because a person feels they need professional advice during the process. Of course, everyone will have different needs and circumstances surrounding their purchase, and this is why an insurance professional’s advice can be an invaluable asset. If you’re debating buying insurance online versus through insurance agency, then you should ask yourself a couple of questions: More

Deducing deductibles? Elementary, my dear Watson!

To determine the deductible that provides the greatest value for your insurance dollar, we believe Sherlock Holmes might have made a great insurance agent. Although insurance can sometimes seem complicated, choosing the best deductible for your personal situation can prove an elementary decision. More

Do you know your Risk Definitions?

If you want to manage risk within your firm, you need to familiarize yourself with riskmanagement language. Here are some basic definitions, provided by the National Alliance for Insurance Education & Research, which you can use to build your knowledge base:

  • Exposure: A situation, practice or condition that might lead to a loss; an activity
    or resource (assets, people).
  • Peril: A “cause” of loss; an event that might cause a loss.
  • Hazard: A condition within an exposure that might lead to an incident; “a peril
    about to happen.”
  • Incident: An event that disrupts normal activities and might become a loss or
    claim; “a near miss.” Lifecycle of an incident: Preincident,incident, immediate
    postincident,post incident, rehabilitation (repair, recovery).
  • Accident: An incident resulting in injury or damage to person or property which has, or will become, a loss or
    claim; “an unplanned event definite as to time and place that causes bodily injury or property damage.”
  • Occurrence: An accident with the limitation of time removed.
  • Loss: A reduction in value.
  • Claim: A demand or obligation for payment as a result of a loss.
  • Frequency: The number of times an incident occurs.
  • Severity: The monetary impact of a loss.
  • Expected losses: Loss projections (“loss pics”) based on probability distributions and statistics; frequently
    developed using actuarial techniques.

For a complimentary review of the risks your business faces, please feel free to contact us at any time.


Understanding the claim payment process

An insurance adjuster is responsible for inspecting damage to a home following a claim. These individuals are also responsible for offering a specific sum of money that is to be used by the policyholder for necessary repairs. As a general rule, the first check received from the insurance company is meant as an advance toward the total amount of the settlement. It’s important to remember that it’s not the final payment. Separate checks are issued for each category of damage. Checks to cover living expenses are usually also sent separately. More

Stay Afloat With Proper Boater’s Insurance

Posted on: No Comments

There are many hidden costs associated with owning a boat: Dock fees, general maintenance, and winter storage, just to name a few. One expense that boat owners should never skimp on is purchasing the best available insurance policy for their watercraft.

Because buying a boat is a huge investment, owners should protect their boat with comprehensive insurance coverage. Plans are often based on the type and size of the boat. Many Homeowners and Renters insurance policies provide limited coverage for property damage if the boat’s engine is less than 25 horsepower or if it is a small sailboat, but without additional insurance, no liability coverage is included.


Marine Preparedness Information

Posted on: No Comments

Below are some tips for protecting your boat from possible damage in the sunken boat after a stormevent of a strong windstorm.

Depending on your location and situation, you may choose to:

1) Haul your vessel out of the water (normally the best option and most policies will help with haul-out costs if a warning is issued in your area),

2) Move it to a safer harbor away from the storm, or

3) Secure it in its berth in the marina.  If your best option available is to keep it in its berth, the following steps are advisable:  More

Do you read your insurance policy?

Do you read your insurance policy? While we suggest to our customers that they read their policy, fact is most people don’t. When competing for a prospective new customer we answer questions and compare and contrast different policies, however it’s nearly impossible to address every detail of the policy within the short window of opportunity we have with our prospect. An insurance policy is about as entertaining a read as the back of a shampoo bottle, so it’s not surprising that very few people read them. If you’re dead set against reading the policy, we suggest that you at least review the exclusions. Eliminated surprises. It’s far better to have exclusion related questions addressed now than at the time of a loss.

One state has gone so far as to legislate law requiring that an insured is charged with the knowledge of the terms of the policy upon which he/she relies on for protection. – See Atlas Roofing Mfg. Co. vs. Robinson & Julienne, Inc. (Miss. 1973) – Under Mississippi Law, the “knowledge of an insurance policy is imputed to an insured regardless of whether they read the policy” Oaks vs. Sellers (Miss 2007).