how many of you have liability only insurance

[gordytwo]

I'm trying to decide between having full coverage vs liability only. The boat is a 1981 43' trawler. What are the pitfalls of liability only. Yes, I can absorb the loss of the boat if it happened. Thanks for your input.

 

[psneeld]

I would make sure you ave the $800,000+ environmental and a reasonable salvage coverage too. I was tempted when it was getting difficult or expensive to insure my 1988 trawler that was rapidly declining below $50,000 in worth and I didn't need to replace it in a total loss.

 

[Besslb]

If you plan to keep your boat in a marina, check to see what their requirements are before deciding. If you have a private dock, ignore me.

 

[SoWhat]

I have liability only. Bringing the boat up to standards where it would pass an insurance survey is simply not worth it. eg - propane tank is located in unvented area under flybridge brow. It's a safe installation and I see no need to change it. I can handle the financial loss so I have no real need for hull insurance. I am not aware of any pitfalls.

 

[mvweebles]

I am in Mexico and have liability only. I will likely stick with Liability Only when I eventually return to the US. As Psneeld states, important to have high coverage for environmental as that can be a catastrophic expense.

Decision criteria include experience, valuation, and ability to repair damages. I've put the money into a larger anchor and better fire supression system.

Peter

 

[gordytwo]

I have checked with the marina and it's okay with them. Liability coverage includes $997000 spill and wreck removal along with uninsured boaters coverage. Also $25000 medical payments. Thanks for your help.

 

[mvweebles]

I have checked with the marina and it's okay with them. Liability coverage includes $997000 spill and wreck removal along with uninsured boaters coverage. Also $25000 medical payments. Thanks for your help.

How much is that policy, and through whom?

 

[tiltrider1]

The real question is how much do you save by dropping hull coverage? I find with my cars that most of the cost of the policy is liability and the savings from dropping collision is insignificant.

 

[koliver]

I have liability only. Bringing the boat up to standards where it would pass an insurance survey is simply not worth it. eg - propane tank is located in unvented area under flybridge brow. It's a safe installation and I see no need to change it. I can handle the financial loss so I have no real need for hull insurance. I am not aware of any pitfalls.

Pretty easy to get satisfactory venting for that tank location. Try louvred doors.
My last survey the surveyor noted that the flybridge brow location was "vented to atmosphere". I would describe the location as "behind louvred doors".

 

[gordytwo]

actually, the car insurance does exactly what you said. But boat insurance is just the opposite. Check your boat policy and the big expense is the hull ins. Liability is usually a few hundred dollars depending on where you are. The difference between the policies I look at reduced the cost by at least 60% for liability only. I'm really looking for answers that are problems with liability only. As I said losing the boat I can handle money wise. The depreciation on partial repairs and machinery on older boats is alot even if you have agreed value policy. Being a liveaboard makes it even tougher.

 

[Delta Riverat]

I have liability only, Progressive online. Was good enough for Marina.

They would not issue full policy for purchase price based on age.

 

[mvweebles]

Pretty easy to get satisfactory venting for that tank location. Try louvred doors.

My last survey the surveyor noted that the flybridge brow location was "vented to atmosphere". I would describe the location as "behind louvred doors".

Sorry to derail, but pretty sure propane tank has to be in a drop-in installation. Vented doors are not acceptable by ABYC. I know, it's ridiculous, but a recent thread has thr citations. Steve D'antonio posted an excellent article on the subject.

I noted as I have the same issue.

Peter

EDIT - look at post #39 from Steve D'antonio. Section 1.8 of ABYC describes propane locker install. Locker must open from the top witb a gasketed lid.

https://www.trawlerforum.com/forums/showthread.php?t=64615

I know a vented door in many instances makes sense, but it won't fly with ABYC.

 

[Pete Meisinger]

I think louvered doors are exactly what the insurers want to avoid. Propane leaks out through the louvers, then into the bilge than "BANG".

pete

 

[Lepke]

I have a 1942, 83' wood boat. I have liability only because full coverage for loss would make payments that would buy a new boat every 9 years. And this is my last boat. If it goes, I'll probably be going with it.

 

[Shrew]

.................... What are the pitfalls of liability only. Yes, I can absorb the loss of the boat if it happened.

I honestly think you answered your own question. You absorb all losses of the boat yourself. This includes liability from losses incurred from an uninsured 3rd party.

Look closely at your contracts. Many marina contracts I've had absolve the liability as a result of accidents on site. So if a strap breaks and the boat gets dropped during a haul, it goes against my insurance. I'd have to let my insurance chase their insurance and their contract acting as a potential shield against everything short of negligence.

 

[Greg QS]

Boat insurance kina like car insurance. Older vehicle paid off liability only. Have a note of some kind at least insurance for the hull value of the loan, so incase of a full loss you are protected. That's what insurance is for. Protection of your investment.

 

[Symphony]

And this is my last boat. If it goes, I'll probably be going with it.

+1 for this. Haha same for me

 

[bhumphrys]

Exactly same for me. Progressive online for liability only. Most to all insurance companies wouldn’t cover my boat due to age. That’s ok though given my needs.

 

[Simi 60]

It amazes me in a land as lawyer happy as the US that your liability coverage limits are so low.

Here in Oz we need $10 million in liability and wreck removal and I have heard noise of one very popular marina/boatyard requiring $20 million.

 

[Mako]

Gordy, since I'll never have a loan on a boat again, I'll never have hull insurance again either.

I look at a boat as a luxury, a toy, a recreational item and if I were to lose it then it would not be the financial ruin of me. But each person needs to decide how much money they are willing to lose... $40k... $200k... $1/2M

 

[Woodstock]

I'm really looking for answers that are problems with liability only. As I said losing the boat I can handle money wise.

I looked at going with liability only a year or so ago. The price was attractive but through our ins. broker only one (well known) marine provider would quote it on our cruiser. The deal breaker was the provision that no coverage would be provided during a named storm unless the boat was hauled and blocked. So if I stayed in our well protected marina during a named storm I would violate the terms of our marina contracts with no coverage. Getting haul-out insurance in our area is next to impossible to find. If it was available, the combination of a haul-out policy plus the liability policy was more expensive than just keeping the full insurance coverage. So we just stayed with full coverage.

 

[MVDarlin]

Note: with all the deductibles, named storm deduct the net coverage is 1/2 of the stated hull value on my boat in the Sea of Cortez and hard to find. At about $50,000 net coverage the $4,000 premium seems outrageous. I doubt I will renew next year. 500,000 liability is only $350

 

[psneeld]

It amazes me in a land as lawyer happy as the US that your liability coverage limits are so low.

Here in Oz we need $10 million in liability and wreck removal and I have heard noise of one very popular marina/boatyard requiring $20 million.

There is the thought being passed around here in the US that the more coverage you have the more likely you will get sued and a settlement will take place... if the insurance companies are willing to fork over $1,000,000, then the suing party's lawyers will settle for way less.

I was once denied umbrella coverage for the amount often recommended by a very reputable company because "I wasn't worth enough" and the insurance would be a ripe target.

Just goes full circle to the system being broken...in all areas.

 

[SteveK]

................

I was once denied umbrella coverage for the amount often recommended by a very reputable company because "I wasn't worth enough" and the insurance would be a ripe target.

Just goes full circle to the system being broken...in all areas.

But, even people in their words "worth enough", the insurance is the first target. Was that just an excuse they gave I wonder. We buy insurance so we protect our assets as the front line.