In Search of a New Insurance Carrier

[Sea Hunt Video]

I have had BoatUS insurance since 2008. BoatUS has changed carriers 1-2 times but it was always with BoatUS. I have never once filed a claim for anything. Admittedly, I have been fortunate.

This year GEICO (the current insurance carrier for BoatUS) wants to jack up my rate more than 20% When I spoke with a GEICO manager/supervisor his attitude was "take it or leave it" (after he said my premium would be lower if I increased deductible to $5,000 ( ), duh and lowered "agreed value" substantially; duh

So, I am beginning a search for a new insurance carrier. S/V Bali Ha'i is currently on a trailer at my home which is about 10 miles from Biscayne Bay. I have built a separate concrete slab for the trailer/sailboat. It is about 8" - 9" thick. Before pouring concrete I installed four (4) 1" diameter eyebolts with 8" square metal plates below the concrete. I have four (4) compression straps to secure the sailboat to the trailer and the sailboat and trailer to the eyebolts. Given my distance from the ocean and the concrete, eyebolts and straps I am reasonably confident S/V Bali Ha'i will be OK for Cat 1 or Cat 2 "H" events. If we get another Andrew all bets are off.

Given the above, I believe I have time (4-5 months) to search for a new insurance carrier before I relaunch S/V Bali Ha'i.

I researched prior threads to see what was then currently recommended. Not much information. Some seemed to like Progressive. I am not sure what their "boat knowledge" is. That was one of the issues with GEICO. The first representative I talked with seemed completely uninterested in distance from ocean, on trailer, secured with straps, etc. GEICO sells car, truck and motorcycle insurance. I do not think they have representatives knowledgeable about sailboats.

ANY RECOMMENDATIONS FOR AN INSURANCE CARRIER WOULD BE MUCH APPRECIATED

[mgphl52]

Hi Roberto!

I have been with Progressive for over 20 years now. They have been very reasonable and easy to work with thru multiple boats. I now have both of our cars and my Harley with them.

-michael

[csoule13]

both boats in the family are with Progressive, and been a non-issue here on the Chesapeake.

[Sea Hunt Video]

Hi Roberto!

I have been with Progressive for over 20 years now. They have been very reasonable and easy to work with thru multiple boats.

Mike, can you "PM" me the name/phone number of your agent

Thanks.

[Sea Hunt Video]

Thanks Mike

[moctrams]

I also have Progressive. They are very reasonable. I don't think sailors put in a lot of claims.

[Joe Myerson]

Hi Roberto,

I've been using Travelers Insurance since I bought my boat. I tried BoatUS, but they required several documents that wouldn't go through until I had the boat sailed to my home port. Travelers allowed me to insure the boat immediately.

My agent is based here on Cape Cod, so I don't think you'd want to deal with them. I did experience our significant increase in premiums about five years ago, but my rate has been stable otherwise.

Good luck!

--Joe

[Dick Kobayashi]

Like Joe, I am with travelers. But you might consider whether your boat now "at home" is covered by home owners or could be listed personal property on the HO policy. Then shift to a marine property whe it does in the water.

[Capt Hook]

Roberto,
I have been with USAA for almost 50 years. I have always been happy with USAA. When I bought Kumbaya I went to USAA. They didn’t offer boat insurance directly but did and do insure Kumbaya through Progressive. If USAA uses Progressive I take that as good for me. Also cheaper than BoatUS.

[Sea Hunt Video]

Thanks to all for the helpful replies. It looks like Progressive is the current consensus favorite although other recommendations may be coming in soon. I will call Progressive after the 4th of July weekend.

Dick K., I will check on your suggestion. Given my personal circumstances it may not be possible but it does not hurt to ask.

I wish all a Safe and Happy 4th of July

[John Stone]

Roberto, et al,

We used to have boatus but their rates skyrocketed several years ago when they were bought by Gieco. We then went with Markel and I carried only liability during my first voyage to the West Indies. But this time they agreed to insure us even though I singlehanded to the West Indies and back.

However, this summer they raised their rates 30 percent—in response to Florence?—even though we were the only boat undamaged in our marina. You can’t win....

It’s getting to where being insured for just liability—vice comprehensive—may be the only way to control costs.

[Frenchy]

Another way to save is to join the power squadron or the cg auxiliary. The USPS has their own insurance
provider and my rate is very good, I think. - Jean

[Sea Hunt Video]

John S.:

I agree 110% with your post. Insurance companies are a "reactionary organization". They are always living in the past and have no desire to individualize rates.

I don't want to brag, but that said, I am an ideal candidate for the lowest possible rate. I am old (therefore cautious by nature and training), I have never been arrested for anything ever; I am retired; I have an outstanding credit rating score; I have never missed a payment to anyone ever; i haul my sailboat at the beginning of "H" season and do not splash until the end of "H" season; I have been with BoatUS since 2008; I am by no means an expert sailor like John S. and others on this board but I have taken numerous boating courses and obtained several different certifications. I am a very cautious and prudent sailor. I could go on but why bother.

The insurance companies could care less about my individual record. Their attitude is "we don't need you but you damn sure need us" And sadly, they are right. Before I can relaunch S/V Bali Ha'i (if I am even able to do so) I will have to have proof of insurance submitted to my sailing club or, if no moorings available, then to Dinner Key Marina or other before they will allow my little sailboat to moor or dock. The insurance companies have us by the proverbial "short and curlies". I have tried to find a path around this attitude but have so far been unsuccessful.

My latest exposure to GEICO was with an insurance underwriter supervisor who was sickeningly sweet in tone but who words were basically "Screw you; that's the price". It's enough (more than enough) to make a guy want to furl his jib, flake and strap his main, sell his sailboat and buy a Cape Dory 10 to row around the mooring and docks, etc. Sad

[Ben Miller]

I work for Hagerty, a small insurance company specializing in collectible cars and older boats. I'm definitely not speaking for the company, but I can maybe shed a little light on the insurance process in general.

Sorry, Roberto, but you're right--in a way--that insurance companies don't care about your individual record. Mostly because they can't. An insurance offering comes into being more or less like this:

The company's actuaries decide on a list of factors they think would be useful to incorporate in their rating model. Age of the insured, age of the boat, length, etc. Certain factors might be useful in theory, but if the company doesn't have enough data to build a useful model, then they can't feasibly include it. A lot of behavioral features (hauling your boat during H season, being a prudent sailor) would probably fall into this category. Also, state regulatory boards ban the use of certain factors.

From that model, they write up a filing which they submit to the insurance board of the state (each state has to be filed individually). The state will approve or disapprove the filing. Once it's approved, the insurance company has very little wiggle room in the rates they charge. They can't give you a discount just because you seem like a responsible person, only if you meet certain specific criteria that they included in their rate filing.

The system works this way ultimately for the benefit of the consumer. It ties the hands of the insurance company so that they can't use discriminatory rate factors or charge someone an exorbitant rate for arbitrary reasons. However, it's a double-edged sword which also means they can't hand out discounts. When you're talking to an underwriter on the phone and they seem unwilling to give you a break, it's usually because they really truly can't.

As a few other people have mentioned, you might be able to get a discount for being a member of the power squadron or some such. But only if that's something that the company has included in their model, which they might not all do. You'd have to shop around to see who takes that into account and who doesn't.

Someone else at my company once said, "insurance is the one product where you don't know how much it will cost you until after you've already sold it." It's a guessing game, and they don't get it right all the time, but there is a method to the madness.

[Sterling]

As an independent insurance agent I agree with most everything Ben has said.

I also believe a good independent agent representing a number of different carriers specializing in boat/yacht insurance brings real value to the table.

Even if you go with Progressive (and you can buy directly from them) which seems to be the path you are pursuing, a good agent can also work with Progressive and/or other carries on your behalf with no difference in premium to you. A knowledgeable agent can explain terms and conditions that might not be familiar to you and/or provide recommendations that might save you a few $. He/she should certainly be able to educate you on the marketplace in general including the nuances of boat/yacht insurance in FL.

Hopefully you'll never need this but most importantly a good agent will be there to assist you in your time of need . . . at time of a claim.