Big insurance increase from Geico/Boat US

Got my notice recently about new premium, a 24% increase from last year which was my first year. This brings the annual up to almost $2700. Keep in mind our season here is less than 6 months. I have had no claims. Only stated reason for increase "is to cover the rising cost of of providing insurance for your investment."
Anyone else get bitten? I guess it's time to do some shopping. I have USAA for all other insurance so I'll try them first.

USAA will not insure that size vessel, but they will refer you to Markel where you will get some "consideration" as a USAA member.

Pat T, double that for me, in FL

Same here, Pat. Mine went up about the same amount.

BTW, I grew up in Westchester, near Lagrange. Went to the Lagrange Theater thru my adolescence. Family in nearby Western Springs and Maywood in the 1960-70's. Did you go to LT?

Mine up about the same as well.

My insurance is GEICO, but recieved a notice they will not renew in April.

Pete has promised to get me insurance in April, so I don't worry. Pete ALWAYS comes thru!!

Last time I tried Markel (via USAA as a 41 year member) they said they would not write the wind coverage. Best of luck.


Don

Pat T said:

Got my notice recently about new premium, a 24% increase from last year which was my first year. This brings the annual up to almost $2700. Keep in mind our season here is less than 6 months. I have had no claims. Only stated reason for increase "is to cover the rising cost of of providing insurance for your investment."
Anyone else get bitten? I guess it's time to do some shopping. I have USAA for all other insurance so I'll try them first.

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This is when you find a good marine broker who deals with many companies and put them to work to see if you're on the best plan for you or there is better.

Alaskan Sea-Duction said:

My insurance is GEICO, but recieved a notice they will not renew in April.

Pete has promised to get me insurance in April, so I don't worry. Pete ALWAYS comes thru!!

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Yup, he did well for me after Progressive jacked my rates massively this summer. New policy (through Markel via Peter) is only slightly more expensive than my pre-increase rate, but for better coverage.

If this helps, I just insured with AIG. Permitted cruising range full west coast, between Baja and Alaska coastal. 2% hull deductible. Agreed value. Full coverage. 0.67% of hull.

This rapidly gets to the point where insurance is unaffordable or unattainium, or just ridiculous.



It's one thing to raise the price because the boat is worth more, but another thing to raise it as a percentage where they get more and more of the value in premiums. What happens when it hits 5 or 6 percent?.... or even 25%... or more?



I hope there's good choices for liability for those that want to go bare on the hull.

Try IMIS in Annapolis. I’ve had them for years and they always found me a reasonable price

My strong guess is rates are going up since they underpriced the risk of hurricane losses. Dorian cost them billions. Same thing with insurance for homes at risk from fire on the west coast.

bowball said:

My strong guess is rates are going up since they underpriced the risk of hurricane losses. Dorian cost them billions. Same thing with insurance for homes at risk from fire on the west coast.

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That may be part of it, but my broker (E F Hutton ) commented last December that prices had increased due to losses from a large number of first time boaters getting in since they weren't traveling out of the country because of covid.

Ted

I just paid my Markel premium. Down $250 from last year.

As I shop around to replace my sold boat, from what I am seeing is that the entire boating industry is experiencing very sharp price increases. From new boats, used boats, marina slips, dive services, and repair services. All insurance companies are facing increased costs too. Given the recent losses and the increase in fair market value of boats, insurance rates should go up. That they have gone up only 25% or so is interesting. Although, bear in mind that we have no inflation as we will be told today (9/22) by the Fed Reserve.

I did end up getting a quote from Markel. It is less than 1/2 the price of my last policy before the increase. I will have to call them back to double check everything but the only difference I can point out is Markel is insuring me for Great Lakes & nearby waters whereas Boat US covers the coasts. Not an issue for me now.
I do have to submit a recent survey which I have since I bought the boat in the past year. I also must have corrected all the deficiencies noted by surveyor or note them as to when I will complete them. Some recommendations are not that important and I may not get to them in the next year or two so I wonder if they could reject me. To be continued.........

Pat T said:

I did end up getting a quote from Markel. It is less than 1/2 the price of my last policy before the increase. I will have to call them back to double check everything but the only difference I can point out is Markel is insuring me for Great Lakes & nearby waters whereas Boat US covers the coasts. Not an issue for me now.
I do have to submit a recent survey which I have since I bought the boat in the past year. I also must have corrected all the deficiencies noted by surveyor or note them as to when I will complete them. Some recommendations are not that important and I may not get to them in the next year or two so I wonder if they could reject me. To be continued.........

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It will depend on the underwriter. They may accept minor defects or they may say fix them all. Crap shoot, good luck!

No idea what i am talking about, but would the fact boat prices have skyrocketed and losses would be higher (they are carrying more risk) and they raised rates to compensate?

Again, no idea. Lol

Alisske said:

No idea what i am talking about, but would the fact boat prices have skyrocketed and losses would be higher (they are carrying more risk) and they raised rates to compensate?

Again, no idea. Lol

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Wifey B: The fact Ida caused over $50 billion damage doesn't help either.

I just renewed with Gieco/Boat US and my premium decreased by $600. Never had a claim and I haul out for every named storm in the GOM.

Always Late said:

I just renewed with Gieco/Boat US and my premium decreased by $600. Never had a claim and I haul out for every named storm in the GOM.

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OK, what changed. If the coverage is the same as before, the value the same or more then you have to ask why was it $600 more last year from the same place.

We switched to Geico/BoatUS after Pantaenius folded. Our storm plan has been to move up the Mobile river delta, even for smaller storms, as local marinas are not well designed for significant storm surge. Last year we did this three times, each taking 6-8 days.

This year we are hauled out in a secure yard with enough elevation for a CAT 4 storm surge. After submitting a revised storm plan, including the season haul out, we received a 10% rebate from Geico.

Always Late said:

I just renewed with Gieco/Boat US and my premium decreased by $600. Never had a claim and I haul out for every named storm in the GOM.

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My insurance premium has always been pretty low because I do not carry named storm insurance. I have always had a plan to secure my boats in a good hurricane hole (including cat 5 Michael in 2018 which passed right over us) and feel that insuring against something so unlikely to affect me is a waste of money. If you cannot be as sure you will be able to avoid damage as I am, well, named storm insurance for you.

Last year my premium went from $3000-$3950. Seemed high but I gulped and wrote the check. Last month my premium was going to go from $3900 to 6150. WTF??
I received quotes from three other insurance companies and they’re all between $3000 and $4000.

I think Geico doesn’t want be in the boat insurance business unless they can really rake in money. Good for them. After 25 years with BoatUS, I just put a fork it it. I’m done.
They won’t get anymore of my money

I am fearing this next April. GEICO sent me a notice that they will no longer insure boats over 20 years old.

But I have a secret weapon. Peter!!

Always Late said:

I just renewed with Gieco/Boat US and my premium decreased by $600. Never had a claim and I haul out for every named storm in the GOM.

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Same here. Mine renewed in April with a $600 reduction on the GOM. Never had a claim. 48 year old boat.

Alaskan Sea-Duction said:

I am fearing this next April. GEICO sent me a notice that they will no longer insure boats over 20 years old.

But I have a secret weapon. Peter!!

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I thought they were not taking on “new” policies on boats over 20 years old. But then again I just had Gieco/Boat/US write a new policy on our new to us 1998 Formula. We sold our 1987 President in June and bought the 1998 Formula in August so it wasn’t an existing policy. But they didn’t even remark about the age of the boat and when I asked if they wanted a copy of the survey on it they said no thanks. Hmm…

^^ This

My broker was able to find four insurers with wildly varying rates and restrictions and work with the best priced insurer to fine tune the language on our 32’ not a trawler. Price was about 1/2 of the worst rate and for better coverage/terms. I’d tried Geico and my HO/Auto/life folks first and they weren’t even in the ballpark.

When in doubt use a pro.

Just wondering why are you guys need comprehensive ,what you get is your business of course, if you want it you should get it of course but I’m just wondering exactly what worries you ,around here they require 300,000 liability at the port or most of the marinas, in case your boat sinks or you have a fuel spill but other than that I don’t know. I got off the insurance gravy train a few years back after closing down my business, I don’t miss paying insurance $5 million hazmat coverage had to have it.I knew some Russian immigrants and I would ask them what’s it like doing business here compared to Russia and they would chuckle and say in Russia you pay the government ,hear you pay the insurance company.I know a metal fab guy here ,quite a bit of his work is replacing fuel tanks ,insurance company requirements for the commercial fishing guys