DO YOU KNOW YOUR INSURANCE?
It may seem like a simple question, but ask yourself - do you truly know your insurance?
When it comes to insurance, it is important to note that there is no such thing as a one size fits all policy which is why you should learn all you can about your insurer and the cover they provide you with. The most crucial aspect to consider is the value of your insurance and to take into account that the cheapest policy is not necessarily the best. One of the big things that fall under this is if your insurer will pay you out market price or offer you a replacement vessel in the case of a total loss or if they are one of the few that offer an agreed fixed value policy. Pantaenius falls into this category which means in the event of a total loss we will pay you out the agreed insured price on your policy with no questions asked and no deductions on the payout.
So what happens if you aren’t on an agreed fixed value policy?
Well you might just be paying a premium on a value you will never receive. If you take that into consideration you quickly realise that’s a lot of money which could be going elsewhere.
What if it’s not a total loss?
Again, this varies greatly from insurer to insurer so it’s important to read the fine print of your policy. At Pantaenius you will benefit from items like capped depreciation. Furthermore, should for example, lightning fry your electronics we give you back a minimum of 70% for the gear and take responsibility for all the labour costs needed for installation. You will have a hard time finding someone that offers that, it’s where the strength of the global leader in yacht insurance really comes into play.
Well what does your policy even cover? For all Pantaenius insured vessels an all-risk policy applies, meaning that unlike other insurers who only cover you for what they state, we cover you for everything except for our small list of exclusions. If it’s not on that list it’s covered!
Things that affect the cost of your insurance
Whilst boat type, size, features and price have an obvious impact on the price of your premium there are some other things that have an effect. One thing that has had an impact on yacht insurance worldwide is the growing amount of boat owners and, in turn, boats on our waters. With larger numbers of people new to driving and maintaining boats it has led to more claims causing overall premium raises. Furthermore, the influx in boats makes it harder to find good marina space or adequate assistance or inland storage in the case of natural disasters. Another aspect that has an effect is the navigation area. Different cruising areas have different risks associated with them and premiums tend to reflect this. Hurricane Irma and Cyclone Debbie have forced underwriters to increase policy costs in tropical storm prone areas. Alternatively, travelling through open international waters holds the risk of difficult rescue operations, salvage and wreck removal. Higher risks create higher premiums whilst lower risks result in cheaper premiums.