Policy Comparison

[Rex Noel]

Al,You may recognize me as one of your clients. I have found it difficult, as a non-insurance professional, to compare policies and coverages. Particularly, I have been interested in how a claim would be handled by, for example, BoatUS, compared to a Reliance policy.It might be helpful for your readers if you took a couple of "typical" claims... maybe a small damage claim at one extreme, and major loss at the other... and provide a description of how the owner's needs would be handled by each. Such issues as depreciation, new for old, etc. could be described fairly specifically, which helps us laypersons to understand the differences.I suspect that many people quite happily take their BoatUS, Allstate, etc. policies and assume they have satisfactory coverage... without understanding the limitations. Thanks.Rex

 

[Al Golden]

Hi Rex:Well we've just had a very recent example of one of the big differences!We had a client whose electronically controlled Detroit Diesels went haywire and carboned up. Both of them!Reliance has paid for the two engines to be replaced to the tune of about $91,000. That claim would NOT be covered at all by Boat/US or many other policies.While sailboat owners would not likely have a mechanical breakdown claim that big, it is illustrative of the major differences between policies. AND, those differences are buried in the policy language, they can't be found on the Declarations Page.Another huge difference can occur if you sign a slip, mooring or racing agreement containing a Hold Harmless clause. While Reliance specifically permits this in their policy, a Boat/US policy may be voided.AlIMIS