14 Dec Understanding Marine Insurance
As the owner of a boat, yacht, or other watercraft, is it important to understand your marine insurance policy and be prepared in the event that you need to make a marine insurance claim. Boats are expensive enough as is, so you want to make sure to understand your policy and what kind of coverage you actually have. Another thing that is often overlooked is knowing what is expected of you in order to properly file a marine insurance claim.
The History of Marine Insurance
Marine insurance is actually the oldest form of modern insurance. Making its first appearance in London during the 17th century. During this time, ships were commonly used for travel, trade, and so much more. However, the ship owners had to deal with the risks of marine travel. Ship and cargo owners began meeting with private investors to insure ships in the event of an any unforeseeable events or tragedy.
Protect Your Investment
Boats can be an expensive asset. They require almost constant maintenance and a high rate of repair. Often, repairs are followed after a storm that develop quickly and flood the boat, or heavy winds that overturn the boat. A Marine policy will cover some if not all of the costs for repairs or replacements if an event cover under the policy occurs and causes damage.
Avoid a Claim Denial
Marine insurance policies are extraordinarily specific. These policies work under a concept of uberrimae fidei, which means “utmost good faith”. This means the policyholder is expected to fully disclose anything and everything pertinent to the insured vessels and person, even if it was not explicitly asked. Too often, significant claims that should be covered by the insurance policy get denied because of an exclusion or limitation in the fine print of the policy. There are often easy ways to avoid these costly mistakes but they are easy to overlook by someone who is not a professional in marine insurance policies and claims.
Hire a Professional
An insurance adjuster that is well versed in marine claims would be the best person to get advice and help from when choosing a policy or filing a claim. In fact, in the event of an accident, you may want to contact an adjuster prior to contacting the insurance company. As mentioned earlier, one misstep could cost you the claim. A marine insurance claims adjuster will walk you through every step in filing a claim to maximize the probability of your claim being accepted. Remember, an insurance company benefits from paying you out as little money as they can for a claim.
Here are some common bad faith insurance practices to look out for:
- Failure to properly investigate a claim
- Lack of prompt or complete communication regarding a claim
- Altering a material document without the knowledge of the policyholder
- Misrepresentation of relevant facts relating to a claim or policy
- Failure to provide written notice of an investigation within 30 days of a proof-of-loss statement submission
Do not be short-changed by your marine insurance provider. Get your boat and marine equipment replaced, repaired, and back in business in a timely manner when you hire Reliant Adjusters Group to represent you. Our experienced adjusters will have your back so you can breathe easy. In the event of an accident that causes damage to your boat, yacht, or other marine craft, call us at 561-929-9826.