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Old 10-07-2016, 03:56 PM   #15
BandB's Avatar
City: Fort Lauderdale
Country: USA
Join Date: Jan 2014
Posts: 15,855
Yes, reading the policy applies to all companies, but the question was specifically about progressive and when it comes to large boats, to environmental and salvage and to exclusions, I'd be very hesitant.

Here are some of the things I'd look at most carefully.

-Agreed fixed value or market depreciated?

-Depreciation on partial damage. Will you get new parts? If you have a 25% loss, will you get what it costs to repair or be limited to 25% of it's now depreciated value?

-How extensive is your third party coverage, especially for environmental damage?

-Is it all risks without any warranty of seaworthiness? Or if the boat falls apart might and sinks, might they deny the claim because the boat was not seaworthy?

-What about latent defects? Does it exclude claims by stating they were hidden manufacturing defects or problems hidden at the time you purchased or had it surveyed? For instance, not reported on the survey, but they think they should have been detected at that time?

-Areas of navigation. Are they restricted? Are times of the year restricted? What about coverage during a named storm?

-What about piracy? Acts of war? Not too important perhaps if you boat in Nebraska but definitely if you boat in areas of the Caribbean and Central and South America.

-What about incidental damages? What if the engines stop and subsequently you have to abandon at sea? Will they say that's not covered as the engines aren't? What about conflicts between warranty and insurance?

-What about towing and salvage? Will they pay salvage costs on top of a boat they total? Or if your boat is salvaged and brought to shore, will they deduct the salvage fee from the amount paid?

-What about operator of the boat? What if they approve you to operate it and insure you, but your brother has it out when the problem occurs, or your son?

-What about if you're in violation of a law at the time of the accident? Will a .09 get you a denial? Will an expired license or operator not legally licensed where it occurs?

-What if damage happens as a result of third party action such as dropped off a lift at a shipyard or a fire on another boat at a marina?

-Will they defend you in court if a claim arises?

-reputation for prompt and complete payment of claims is important as well as how well they'll protect your interests when the other boat is at fault. Will they pay and then sue to recover from the other party or back away entirely?

-What is their policy on live aboard and how do they define it?

Read and understand every paragraph. Give special attention to all exclusions. Think of them each as excuses not to pay.

That said, for a 50' boat being used coastal and/or offshore. Progressive would definitely not be my choice of carrier. I would go for a reputable "yacht" insurer, yacht in this case simply tied to size. With some it's over 27'.
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