Boat insurance and registrations

[hancoveguy]

Hello all,
New boat/camp owner here... Any suggestions on boat insurance? Not looking for brokers perse but more of coverage issues and suggestions along with how and where and how much the registration thing is. I live in Ma but have a place at the lake now so I can register in NH right? Also, is it wise to try and get some sort of umbrella policy for the boat, camp and ??? what else? trailer, 4 wheelers, golf cart, etc...

thanks as always

[secondcurve]

Hancoveguy:

I'd definitely have an umbrella policy. Accidents do happen on the big lake and it is cheap insurance (about $250.00 per annum per $1,000,000 of coverage). The umbrella coverage isn't specific to a particular risk rather it acts as an umbrella over your existing coverages. I just went back and re-read your post. 4-wheelers are likely to jack up the premiums above what I quoted as are snowmobiles, etc. Back yard trampolines are also a no-no.

Good luck

[VitaBene]

Originally Posted by secondcurve

Hancoveguy:

I'd definitely have an umbrella policy. Accidents do happen on the big lake and it is cheap insurance (about $250.00 per annum per $1,000,000 of coverage). The umbrella coverage isn't specific to a particular risk rather it acts as an umbrella over your existing coverages. I just went back and re-read your post. 4-wheelers are likely to jack up the premiums above what I quoted as are snowmobiles, etc. Back yard trampolines are also a no-no.

Good luck

Keep in mind that most umbrella policies require you to max out your liability limits on your primary policies. I am a big fan of umbrellas

[Pineedles]

I have a jet ski that the kids and a crazy cousin use during the summer months. Should I have some sort of liability insurance? JS is a 2001 SeaDoo so I can't imagine any kind of collision woud be cost effective. I think I have seen posts for liability for about $100 per year? Am i correct?

[VitaBene]

Originally Posted by Pineedles

I have a jet ski that the kids and a crazy cousin use during the summer months. Should I have some sort of liability insurance? JS is a 2001 SeaDoo so I can't imagine any kind of collision woud be cost effective. I think I have seen posts for liability for about $100 per year? Am i correct?

Pine, I can't imagine not having liability insurance- that crazy cousin makes a mistake and someone else owns your house!

[Pineedles]

OK, so who do I call? My auto/home here in CT, or someone up there?

[secondcurve]

I'd try your home/auto insurer. Often, your insurance company requires all of your insurance business in order to provide the umbrella coverage. Vitabene is correct that your insurer may require you to raise existing coverages on your home and auto policies prior to issuing an umbrella. Umbrella insurance helps me sleep at night, although, as you can see, I don't sleep at night these days with all that is gong on in the financial markets. Who would have believed that Citi would fail?

[chipj29]

Originally Posted by Pineedles

I have a jet ski that the kids and a crazy cousin use during the summer months. Should I have some sort of liability insurance? JS is a 2001 SeaDoo so I can't imagine any kind of collision woud be cost effective. I think I have seen posts for liability for about $100 per year? Am i correct?

I have full coverage on my '99 Sea Doo for under $200/year. It is with American Modern Home Insurance.

[upthesaukee]

Originally Posted by secondcurve

I'd try your home/auto insurer. Often, your insurance company requires all of your insurance business in order to provide the umbrella coverage. Vitabene is correct that your insurer may require you to raise existing coverages on your home and auto policies prior to issuing an umbrella. Umbrella insurance helps me sleep at night, although, as you can see, I don't sleep at night these days with all that is gong on in the financial markets. Who would have believed that Citi would fail?

Most umbrella policies will not require you to have all policies with one agent or company, but you will have to provide the umbrella policy company with a copy(s) of other insurance policies not available to the Umbrella company and/or its agent.
Depending on the underlying risks (types of boats, cars, etc), the umbrella company may require a higher limit of liability on that policy...when I went from a 112 Hp outboard to a 135 Hp outboard on my 19 foot, that put me into a MPH category that was right at 45, and I had to increase my liability coverage for my boat from 300K to 500k.
Umbrella policies do not kick in until the appropriate underlying coverage is exhausted. For instance, if you did have an accident with a boat, with injuries, and were successfully sued for $1 million, your boat policy would have to pay in full (say $500K) first, and then your umbrella policy would kick in for the remaining $500K. If you were sued for $2 million, and only had a $1 million umbrella policy, you would be on the hook for half a mil.

I do not sell insurance, used to work as an underwriter in personal lines, and I would have my underlying insurance pretty much maxed out, especially in our litigeous society (please don't start a commentary here on that subject.)

[Grady223]

I know you indicate you are not looking for a broker, per se, but that would be my suggestion. Find a local agent who is familiar with boats and in particular the Lake. They are trained to analyse your risk and capacity and make the appropriate suggestions. I have 40 years in the insurance business and that is what I do. I use Avery in Wolfeboro and they coordinate my island homeowner's insurance, boat insurance and umbrella.

[Lakepilot]

I second contacting a local broker. We used to have Avery, but Now we have Wainright. I would call Laurie there. No I don't work there. I just have my insurance with them.

[Orion]

Hancoveguy, judging by your avatar, it looks like you're eligible to buy insurance from USAA (military). I used to live in MA, with island home on the lake and used them for both houses, umbrella, cars, boats, snowmobiles. They tend to offer the best rates and one-stop shopping gives you combined policy benefits.

[EllyPoinster]

I would second Orion's recommendation. I've been with USAA for almost 40 years and currently have two homes, two cars and a boat insured with them. The rates are great and the service is excellent. When the July 24th tornado tore through our Merrymeeting Lake neighborhood, USAA was the first to have a restoration contractor on site to prevent further damage to our home. Their settlement of the losses to the structure and personal property was fair and timely. We pretty much lost the rest of the season while repairs were made but we'll be ready for the next one.

USAA has recently expanded their customer base so, even if you weren't eligible before, you may be now.

[hancoveguy]

Okay, now you have my attention... i will follow up with Avery and with USAA right after T-day.

What about types og insurance on the boat? Not really minimums and maximums but ...not sure how to word this...

For instance, with a car you can get rental coverage for when your car is being fixed, there are different levels of insurance- fire, theft, collission etc. Deductibles, $500? towing?
Really not sure whats available and what is standard, total novice here..
Do you insure year round, drop the coverage a little in the offseason etc

Help!!

[EllyPoinster]

My policy covers loss or damage to the boat and trailer as well as liability.

[NHskier]

Coincidentally, after reading this thread about umbrella policies I got a follow-up call from my insurance company (we have Amica for home & auto and had just reported having a wood pellet stove installed) and the agent asked if I had any interest in an umbrella policy.

While I had heard of these I really didn't understand what they were all about so the info in this thread helped me with that, as well as helped me decide it made good sense to get the added coverage.

Interestingly enough. including our boat (Cobalt 232, 310hp) under the policy (in addition to home, cars & motorcycle) was the biggest issue and required review and an exception from much higher up the underwriting chain, with some caveats on the coverage. And while I tend to think of Formula, Baja and others as "high performance boat manufacturers", apparently the company's list includes Cobalt and many other manufacturers.

[Pier626]

I had an umbrella long before I ever got my boat in 2005. Because of the rated top speed specifications (over 45 mph?) the boat was classified as a performance boat. My insurance carrier, Commerce, with whom I'd had all of my car/renters/home/camper/umbrella policies for more than 20 years was willing to sell me boat insurance, but as a result they would then immediately cancel my umbrella - NO PERFORMANCE WATERCRAFT or BOAT ALLOWED. My broker/agent at the time was AAA of New England. (yup, operative word being "was")

I found a local broker here in Central MA who did all the leg work to set me up with equivalent coverage policies for everything, including an umbrella. And the savings in premiums of having all my policies with a new carrier busted the myth (in my mind) that going with a large, major carrier and nationally recognized broker wouldn't always get you the best buying power/deal.

-Pier626