I'm going through this right now. I got a letter from my insurance company questioning my "agreed value". Years ago I got a condition and value survey for Touche' (1971 35-1) for $40K. That's what I had it insured for.
The letter said the "most recent used boat price guide lists the current market value between $15,300 and $17,300". I don't disagree that many sisterboats without upgrades and refurbishments on Yachtworld are priced in that range. As always, value depends on market and condition. Okay, $40K is a bit high. I asked if my policy was truly an "agreed value" policy. They said no. One can insure a boat for way more than it's worth but I doubt the insurance provider would happily write a check for that amount. Now what? If the boat is physically damaged but largely intact, they will pay to fix it or total it based on the repair vendor's estimate. The adjuster can look at the boat and hopefully see that it is in much better condition than the ones currently on the market. I will show the adjuster the differences and all the upgrades and hope that the adjuster agrees with me. Now what happens if the boat burns and is completely destroyed with nothing remaining for the adjuster to look at? I plan on taking lots of pictures and arguing with the adjuster. Bottom line, I reduced the coverage to $30K. On a positive note, both my premium and my deductible dropped. The deductible is a percent of the covered value. I see this as a positive. Most likely, any claim will be to repair damages much less than the covered value. The lower deductible works in my favor. The real value of insurance is in the liability coverage. That's where the potential for big dollar claims lies. -- Dennis C. Touche' 35-1 #83 Mandeville, LA On Sun, Jun 26, 2022 at 4:55 PM Brian Davis via CnC-List < cnc-list@cnc-list.com> wrote: > I have an insurance question for my fellow C&C'ers. My wife and I bought > Nina (1980 Landfall 38) 6 years ago for $25k. I've had Geico Marine ever > since for an insured value of $30k with a vanishing deductible that is now > zero. I have since restored her to about 95% and tracked all my receipts in > a spreadsheet totalling $45k. We are very happy with the result and the > only remaining 2 projects are a dodger/bimini and replacing the side plexi > windows. > > I inquired with Geico Marine about increasing the coverage from $30k to > $70k. I would first need to pay for a surveyor to inspect and write a > report (I don't know how much this is). Then my rate would go from $1,759 > to $2,372 per year. > > I know this is a sliding scale based on the condition of each boat, and > I'm cool with the money I've put into her so far since we love her. Nearly > all of it is parts cost only because I am a skilled craftsman. Is $70k to > much insurance, and is $2,372 to much to pay for it? > > Would appreciate any thoughts and advice. > > Regards, > Brian >
