Boat Insurance?

[keninaz]

I cancelled my boat insurance today with the company I was doing business with. I had written them and told them my small boat was now paid off and they told me they could not accept that and that I needed a lien holders release to stop the insurance. What??? I told them that the same company accepted the fact that I paid off my 2 cars the same day and remove the lien holders from the auto policy and wanted to know why the boat insurance of the same company could not do the same. Also told him I wasn't chasing any documentation to prove that I had paid off the loan as I certainly was not required to. Anyway, to make a long story short he thought I was rude, I know he was rude, and I just canceled the policy. Perhaps someday he will learn what a customer representative is and who pays the bills at his company.
Anyway, I need to shop insurance for my small boat from a different carrier. I don't know if this type of information or subject is allowed but if it is can you tell me who you do business with and if you are satisfied.

 

[64osby]

A rider on you home owners ins will provide basic replacement value for the boat, motor and trailer, costs are very minimal.

Added umbrella coverage would be a sound coverage to add for all your insurance needs. Just picked up a $1 million umbrella for $218 per year. Covers any activities for anyone in our household that may need insurance.

No I don't sell insurance just know the value of it when needed.

 

[keninaz]

Interesting, I will have to look into that with my homeowner's. Thanks.

 

[tpenfield]

Liability coverage would be the biggest concern IMO.

 

[keninaz]

Yes but on the other hand I just paid $3600 for an electric start power trim 20 HP motor so I would not like to have someone walk away with that either.

 

[bruceb58]

I have USAA for my Wellcraft and BoatUS for my pontoon. BoatUS is very reasonable.

I also have an umbrella policy. It's very important and inexpensive to cover any assets you have.

 

[laurentide]

I have USAA for my Wellcraft and BoatUS for my pontoon. BoatUS is very reasonable.

I also have an umbrella policy. It's very important and inexpensive to cover any assets you have.

Is it actually USAA? I use them for everything but when I tried to cover the boat they directed me to Progressive. And that was just for liability. But it's reasonable and has good coverage.

 

[bruceb58]

Is it actually USAA? I use them for everything but when I tried to cover the boat they directed me to Progressive. And that was just for liability. But it's reasonable and has good coverage.

Yep...actually USAA. Grandfathered in with that boat. All new policies are done through Progressive.

I should have noted that in my other post.

 

[BRICH1260]

I`m in the Insurance business. They should have accepted your verbal disclosure of the lien satisfaction.

 

[BigDfromTN]

I cancelled my boat insurance today with the company I was doing business with. I had written them and told them my small boat was now paid off and they told me they could not accept that and that I needed a lien holders release to stop the insurance. What??? I told them that the same company accepted the fact that I paid off my 2 cars the same day and remove the lien holders from the auto policy and wanted to know why the boat insurance of the same company could not do the same. Also told him I wasn't chasing any documentation to prove that I had paid off the loan as I certainly was not required to. Anyway, to make a long story short he thought I was rude, I know he was rude, and I just canceled the policy. Perhaps someday he will learn what a customer representative is and who pays the bills at his company.
Anyway, I need to shop insurance for my small boat from a different carrier. I don't know if this type of information or subject is allowed but if it is can you tell me who you do business with and if you are satisfied.

If I may shed some light on this....
All of what I am about to say is based on Tennessee law which is not likely much different than any other state law....

A major difference in your boat and auto policies is that you state you simply removed the lienholder on your auto policy and the company has time to send the lienholder proper notice as required by the lienholder endorsement. On your boat policy however you state you wanted to "stop the insurance" (cancel) the coverage and the same type lienholder endorsement requires the lienholder be given so many days notice before coverage ends. However If you provide proof it is paid off then they can make the changes or cancelation effective immediately.

I, as others also have a 1 Million umbrella policy that covers all my vehicles (3) Boats (3), Golf cart, main residence, and the cabin at the river. When you buy an umbrella also get the same limits on Uninsured/Underinsured Motorist! Cheap coverage to protect you against someone underinsured.

 

[sutor623]

I use my auto insurance company (Nationwide) and they have been great. $17 a month for a $10,000 rig at full coverage with $2000 medical per person.

 

[dingbat]

I use my auto insurance company (Nationwide) and they have been great. $17 a month for a $10,000 rig at full coverage with $2000 medical per person.

Hope that is $200,000 medical per person because $2,000 is hardly going to cover the ambulance ride

 

[BigManDan72]

My very old (i.e. not worth much) boat is also covered as a rifer on my homeowners policy. It was the easiest, most cost effective way to get good liability coverage.

 

[bruceb58]

Hope that is $200,000 medical per person because $2,000 is hardly going to cover the ambulance ride

You bring up an interesting point. I am reviewing my insurance and I see that $2000 or so is a common amount. On my car, I have $1Million liability and $65k medical payments. On my boats, I have $500K liability and $5k and $1k respectability. I am going to make a call to my insurance to see about raising the ones on my boats now. I would think that liability and my overriding umbrella woudl cover all medical payments but I probably wrong since they do break out medical payments.

 

[jkust]

I haven't found any carrier cheaper than Progressive for all of my toys including my boats. They go up and down for my autos meaning I come and go but they always have beat everyone else for my toys. I have 5 insurance companies I deal with for all of my stuff and it would be nice to package it all but no one company can be competitive everywhere.

 

[H20Rat]

I`m in the Insurance business. They should have accepted your verbal disclosure of the lien satisfaction.

I used to be in the insurance business also, and you would have been shown the door instantly for accepting someone's verbal disclosure.

In many states, this is also illegal. As an insurer, how do you know that the lien is actually paid off? Lets say the OP didn't actually pay it off, and now the boat is stolen. The OP will get a check from the insurance company, and then decides to pocket the money instead of paying off the loan. The lienholder can't exactly repo a boat that doesn't exist. They also can't touch the money the insurance company gave the lienholder, without a lawsuit at least.

Because of that second part, it is also a requirement that any claims are paid with a check that has both the policyholder and lienholder's names, with a very specific 'AND' between them. That requires both parties to sign. You can imagine how happy some policyholders were, but that was the law. You both sign the check, the lienholder takes possession of the funds, pays the loan, and writes you a check for the remainder.

*disclaimer, your state law might be different...**

 

[jkust]

I'm not in the Property and Casualty insurance business either but had to sit for my insurance license maybe 6 years back which forces you to also learn P&C. One of the points they hit home about was in my state at least, the boat insurance coverage that you might have on your homeowners policy only covered boats that had a pretty small horsepower engine. I seem to recall it was like 25HP.

 

[roffey]

I have nothing to do with insurance other than I pay the bills when its due. In Canada, when I have cancelled insurance I have to fax in a signed form requesting the insurance be cancelled. I suspect the insurance company faxes or informs the Bank or lender (he who lent the money) of the cancelation. It would be difficult if not impossible for an insurance company to force a customer to insure a vehicle through them.

 

[BRICH1260]

I used to be in the insurance business also, and you would have been shown the door instantly for accepting someone's verbal disclosure.

In many states, this is also illegal. As an insurer, how do you know that the lien is actually paid off? Lets say the OP didn't actually pay it off, and now the boat is stolen. The OP will get a check from the insurance company, and then decides to pocket the money instead of paying off the loan. The lienholder can't exactly repo a boat that doesn't exist. They also can't touch the money the insurance company gave the lienholder, without a lawsuit at least.

Because of that second part, it is also a requirement that any claims are paid with a check that has both the policyholder and lienholder's names, with a very specific 'AND' between them. That requires both parties to sign. You can imagine how happy some policyholders were, but that was the law. You both sign the check, the lienholder takes possession of the funds, pays the loan, and writes you a check for the remainder.

*disclaimer, your state law might be different...**

Been doing it for 20+ years. Apparently my state is different from yours.

 

[roffey]

Been doing it for 20+ years. Apparently my state is different from yours.

Just thinking out loud here and keep in mind my business is computers, nothing to do with insurance. Lets say the vehicle was stolen and you owe money on the vehicle. I would think the insurance company would check for leans on the property before paying?