Boat Insurance coverage question

[TriDad]

I have two insurance quotes from different agents

One has the Uninsured Watercraft and Personal Liability coverages at the same $500,000. This is from Foremost Insurance.

The other quote has Personal Liability at $500,000 but the Uninsured Watercraft at only $50k. This one is from MiddleOak (Middlesex Assurance)

Both insist the quote their policies the same way all the time.

Should Uninsured Watercraft and Personal Liability be at the same level? Any thoughts on these two companies?

[Slickcraft]

Our policy from Acadia has $500,000 for both liability and uninsured boaters. I think that this is the necessary coverage to support an umbrella policy.

[robmac]

I have State Farm and have always both at the same dollar level

[upthesaukee]

Originally Posted by TriDad

I have two insurance quotes from different agents

One has the Uninsured Watercraft and Personal Liability coverages at the same $500,000. This is from Foremost Insurance.

The other quote has Personal Liability at $500,000 but the Uninsured Watercraft at only $50k. This one is from MiddleOak (Middlesex Assurance)

Both insist the quote their policies the same way all the time.

Should Uninsured Watercraft and Personal Liability be at the same level? Any thoughts on these two companies?

You are willing to insure yourself against causing injury/property damage in the amount of $500,000. Do you want to have the same protection against someone who is uninsured and caused you injury or property damage, or will be satisfied with only 10% of the coverage you carry?

I figure I am worth the same amount of coverage for uninsured as what I provide for liability to others.

[TriDad]

Thanks for the feedback. Moved both coverages to the $500k (needed for my umbrella anyway).

[RLW]

TriDad, I was just browsing through the forum and noticed that you are fairly new to posting on the forum and glad you have joined us. Have fun and enjoy the Winni Forum while making many new friends.

Glad to have you aboard.

[AC2717]

two ways of looking at this:
yes you want to give yourself the same amount of coverage if someone hits you and they don't have coverage vs you hitting them and having coverage.

Here is the opposite side of that argument: If you have health insurance you are already covered and there is really no need to purchase a large amount of this coverage. keeping in mind that Uninsured Boaters coverage (as well on your auto coverage) is for bodily injury only most times and if you have health insurance they will cover your injruies and bills. Insurance companies like it when you pay extra for this coverage.

The holes to this are, if you have someone on your boat that does not have health insurance you would need that coverage for them. My question to you as an agent would be: who rides in your boat 99% of the time and what is the cost of the difference. Then my other question to you is: I am assuming that the $500k is a aggregate limit, and not a per person limit. What is the per person limit with the $500k being the max?

I personally would want to be more concerned with coverages like the Property Damage limit, pollution, your liability limit (making sure you have a high per occurrence limit) and boat recovery in the event of it sinking or the like. Hospital bills can be worked out and more than likely your passengers will have health insurance, but there are major costs associated with all the above.

Can you tell me what your per occurrence rate is on your liability limit (guessing $250k with a $500k aggregate for bodily injury). What is the Property Damage limit they are offering. the PHYSICAL damage limit is for your boat, the Property Damage limit is coverage for other peoples property?

I am always concerned when people sell the liability limit and don't include what the property damage limit is, think about it, hitting a Cruiser and totaling it $50k, $100k not gonna cut it, a brand new 23 cobalt is $75-$80k or even some of these new pontoon boats are pushing the values

[upthesaukee]

Originally Posted by AC2717

two ways of looking at this:
yes you want to give yourself the same amount of coverage if someone hits you and they don't have coverage vs you hitting them and having coverage.

Here is the opposite side of that argument: If you have health insurance you are already covered and there is really no need to purchase a large amount of this coverage. keeping in mind that Uninsured Boaters coverage (as well on your auto coverage) is for bodily injury only most times and if you have health insurance they will cover your injruies and bills. Insurance companies like it when you pay extra for this coverage.

The holes to this are, if you have someone on your boat that does not have health insurance you would need that coverage for them. My question to you as an agent would be: who rides in your boat 99% of the time and what is the cost of the difference. Then my other question to you is: I am assuming that the $500k is a aggregate limit, and not a per person limit. What is the per person limit with the $500k being the max?

I personally would want to be more concerned with coverages like the Property Damage limit, pollution, your liability limit (making sure you have a high per occurrence limit) and boat recovery in the event of it sinking or the like. Hospital bills can be worked out and more than likely your passengers will have health insurance, but there are major costs associated with all the above.

Can you tell me what your per occurrence rate is on your liability limit (guessing $250k with a $500k aggregate for bodily injury). What is the Property Damage limit they are offering. the PHYSICAL damage limit is for your boat, the Property Damage limit is coverage for other peoples property?

I am always concerned when people sell the liability limit and don't include what the property damage limit is, think about it, hitting a Cruiser and totaling it $50k, $100k not gonna cut it, a brand new 23 cobalt is $75-$80k or even some of these new pontoon boats are pushing the values

There are two basic types of liability coverage in insurance; Split limits and Combined Single Limits (CSL) and applies to Liability or Uninsured/Underinsured limits.

Split limits are, for instance, 100/300/10 or 250/500/25. It works out to be $100,000 liability for each person, $300,000 each accident (maximum total of all claimants) and $10,000 Property Damage. If one person was hurt and won a judgement of $200,000 against you, the most the insurance company is liable for is $100,000. You are on the hook for the other $100,000.

CSL is, for instance, $300k or $500k. In this case, the total of all claimants for injury and property damage is capped at $300,000 or $500,000 respectively, regardless of each individual's claim or judgment. Nice item here is that you are less likely to be on the hook for excess as above, and in the case of little injury claim but a large PD claim ($200,000 boat is totaled ) for which you are at fault, you have that coverage. In split limit coverage, PD limits are usually quite low, and increasing that portion of the coverage is quite expensive.

[AC2717]

Originally Posted by upthesaukee

There are two basic types of liability coverage in insurance; Split limits and Combined Single Limits (CSL) and applies to Liability or Uninsured/Underinsured limits.

Split limits are, for instance, 100/300/10 or 250/500/25. It works out to be $100,000 liability for each person, $300,000 each accident (maximum total of all claimants) and $10,000 Property Damage. If one person was hurt and won a judgement of $200,000 against you, the most the insurance company is liable for is $100,000. You are on the hook for the other $100,000.

CSL is, for instance, $300k or $500k. In this case, the total of all claimants for injury and property damage is capped at $300,000 or $500,000 respectively, regardless of each individual's claim or judgment. Nice item here is that you are less likely to be on the hook for excess as above, and in the case of little injury claim but a large PD claim ($200,000 boat is totaled ) for which you are at fault, you have that coverage. In split limit coverage, PD limits are usually quite low, and increasing that portion of the coverage is quite expensive.

looks like we are in the same Job lol

[upthesaukee]

Originally Posted by AC2717

looks like we are in the same Job lol

I was a personal lines underwriter for an insurance company and ended up as personal lines underwriting manager. We used to kiddingly refer to our job description as a "decliner of business".

Insurance in modern times has changed from a contract written by insurance people to a contract written by lawyers. That is why insurance often times gives coverage, then takes some or all of it away by an exception(s), and even in some cases will give a little of it back again. Gotta love it.

Term "underwriter" has an interesting origin. Owners of cargo being shipped on sailing vessels would list their cargo on documents posted by the ship. Persons who were willing to insure the cargo against loss would sign their name beneath the cargo listing, and how much they were willing to insure it for. Thus, they became "underwriters" .

Back to boats and their coverage.

[AC2717]

Originally Posted by upthesaukee

I was a personal lines underwriter for an insurance company and ended up as personal lines underwriting manager. We used to kiddingly refer to our job description as a "decliner of business".

Insurance in modern times has changed from a contract written by insurance people to a contract written by lawyers. That is why insurance often times gives coverage, then takes some or all of it away by an exception(s), and even in some cases will give a little of it back again. Gotta love it.

Term "underwriter" has an interesting origin. Owners of cargo being shipped on sailing vessels would list their cargo on documents posted by the ship. Persons who were willing to insure the cargo against loss would sign their name beneath the cargo listing, and how much they were willing to insure it for. Thus, they became "underwriters" .

Back to boats and their coverage.

I was a commercial lines underwriter for 8 years before moving to the other side as an agent which is what I am currently for the past 4 years. I like the grass on this side of the fence better, much greener LOL

[TriDad]

Originally Posted by AC2717

two ways of looking at this:
yes you want to give yourself the same amount of coverage if someone hits you and they don't have coverage vs you hitting them and having coverage.

Here is the opposite side of that argument: If you have health insurance you are already covered and there is really no need to purchase a large amount of this coverage. keeping in mind that Uninsured Boaters coverage (as well on your auto coverage) is for bodily injury only most times and if you have health insurance they will cover your injruies and bills. Insurance companies like it when you pay extra for this coverage.

The holes to this are, if you have someone on your boat that does not have health insurance you would need that coverage for them. My question to you as an agent would be: who rides in your boat 99% of the time and what is the cost of the difference. Then my other question to you is: I am assuming that the $500k is a aggregate limit, and not a per person limit. What is the per person limit with the $500k being the max?

I personally would want to be more concerned with coverages like the Property Damage limit, pollution, your liability limit (making sure you have a high per occurrence limit) and boat recovery in the event of it sinking or the like. Hospital bills can be worked out and more than likely your passengers will have health insurance, but there are major costs associated with all the above.

Can you tell me what your per occurrence rate is on your liability limit (guessing $250k with a $500k aggregate for bodily injury). What is the Property Damage limit they are offering. the PHYSICAL damage limit is for your boat, the Property Damage limit is coverage for other peoples property?

I am always concerned when people sell the liability limit and don't include what the property damage limit is, think about it, hitting a Cruiser and totaling it $50k, $100k not gonna cut it, a brand new 23 cobalt is $75-$80k or even some of these new pontoon boats are pushing the values

The Personal Liability and Uninsured coverage are both SLC up to $500k. Things like Pollution Liability and Wreck removal are covered under the Personal Liability section.

The cost difference to raise them both to $500k (from $50k of Uninsured) was only $46. So a no-brainer. I have to minimally carry these amounts ($500k) for the Umbrella policy anyway.

You also have to examine these coverages in the context of your entire insurance portfolio coverage; Homeowners, Healthcare, Umbrella, etc. to make sure you are properly covered.

[upthesaukee]

I like retirement best of all !!!!! Back to the subject at hand

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