UPDATE - MARCH 2024 - Increasing Agreed to Value on Insurance Policy

[Maybe A Dancer]

Did the Florida Loop last year

Looks like I'll make the Bahamas run in 2025, the year before she turns 30

Unlikely I will be able to insure elsewhere for the same agreed value.

Nonetheless, I'll shop the policy a couple of months before my renewal

BEST !

RWS

 

[ttmott]

That is interesting. They will insure your boat but won't give you a Bahamas rider if the boat is 30 years old. I wonder if they know something we don't know. Certainly they have a reason for not taking your money for the rider.

The only reason I can think of is that boats older than 30 years (not just Sea Rays) have a higher sink rate crossing the Gulf Stream than boats of a lesser age. Either than or somebody drew a line to reduce a perceived risk.

I doubt the Bahamas care one way or another.

I think there is a "curve" on how boats are maintained and cared for as they age. Most of us that participate on forums like this one are exceptions to the curve - we are several sigma from the median. As a result though, insurance underwriters probably assign a higher risk to open ocean operations for older boats.

 

[Maybe A Dancer]

I think there is a "curve" on how boats are maintained and cared for as they age. Most of us that participate on forums like this one are exceptions to the curve - we are several sigma from the median. As a result though, insurance underwriters probably assign a higher risk to open ocean operations for older boats.

NO DOUBT this is accurate.

From a purely RISK STANDPOINT, the older boat is more likely to "fail"

Therefore, to minimize the risk. . . .

Similar to the cost of life insurance by age.

I "get" it, just don't have to like it, and don't want to lose that agreed to value by changing insurance.

I insure for one reason only - risk of a total loss due to fire, sinking, struck by another vessel or weather

BEST !

RWS

 

[Woody]

A year ago at renewal time my agreed value was cut by 30%. I squawked, for a couple more bucks it was raised back up. This year I was told a survey will be necessary before a policy will be issued for 2025, my boat will be 20yo then.