Canadian Boat Insurance

sab30 · #1 02-18-2009

Tried to price out insurance on couple of boats we are looking at. Even though the boat will be purchased and kept in the US as a home port, I have to purchase insurance in Canada.

I spoke to one broker who stated $4000 a year for $250,000 coverage (3 yr old 43ft boat) which would cover all West Coast (Canada to Panama) $5,000 deductable and $1,000,000 liability. Does that seems reasonable? I questioned whether this could be shopped and she said there are cheaper premiums but the wording is too restrictive for an international policy of this nature. It was offered by Lloyds and Im wondering if anyone else has experience with a good company (ies) for comparison in Canada?

Oh and she also mentioned that some companies like Mexico wont allow certain boats in from certain companies until you puchase mexcian insurance????

She said that because Lloyds was well accepted and known this wouldnt be the case with them....sounded suspicious..maybe not....maybe someone could confirm if this is true or not.

Thanks....

wolfshead13 · #2 02-18-2009

Quote:

Originally Posted by sab30

Tried to price out insurance on couple of boats we are looking at. Even though the boat will be purchased and kept in the US as a home port, I have to purchase insurance in Canada.

I spoke to one broker who stated $4000 a year for $250,000 coverage (3 yr old 43ft boat) which would cover all West Coast (Canada to Panama) $5,000 deductable and $1,000,000 liability. Does that seems reasonable? I questioned whether this could be shopped and she said there are cheaper premiums but the wording is too restrictive for an international policy of this nature. It was offered by Lloyds and Im wondering if anyone else has experience with a good company (ies) for comparison in Canada?

Oh and she also mentioned that some companies like Mexico wont allow certain boats in from certain companies until you puchase mexcian insurance????

She said that because Lloyds was well accepted and known this wouldnt be the case with them....sounded suspicious..maybe not....maybe someone could confirm if this is true or not.

Thanks....

I have a 25 footer and its insured with CAA. Their only requirement was a survey and it is coverage for anywhere in the world. The value for my boat is quite different (7800.00)cdn with $500 deductable and 1,000,000.00 liability bit it runs $250.00 a year.

Faster · #3 02-18-2009

We pay about 1%... ie $500/yr for 50,000 coverage. If that's "standard" then the rates quoted you seem quite high.

We are coastal cruisers, and do have navigational limitations, but a couple of years ago we wanted to go beyond them, and call the carrier to arrange a rider... there was no need, they simply wanted to be informed if we were planning to travel outside the standard area.

I'd think you could "shop around"... I'm curious why you are required to buy Canadian insurance....

sab30 · #4 02-18-2009

Quote:

Originally Posted by Faster

We pay about 1%... ie $500/yr for 50,000 coverage. If that's "standard" then the rates quoted you seem quite high.

We are coastal cruisers, and do have navigational limitations, but a couple of years ago we wanted to go beyond them, and call the carrier to arrange a rider... there was no need, they simply wanted to be informed if we were planning to travel outside the standard area.

I'd think you could "shop around"... I'm curious why you are required to buy Canadian insurance....

Im told by everyone that unless Im a US citizen then I have to purchase in Canada as a Canadian/UK citizen. Boat will also be registered in Canada.

sab30 · #5 02-18-2009

Quote:

Originally Posted by wolfshead13

I have a 25 footer and its insured with CAA. Their only requirement was a survey and it is coverage for anywhere in the world. The value for my boat is quite different (7800.00)cdn with $500 deductable and 1,000,000.00 liability bit it runs $250.00 a year.

Hi Wolf..

Yes looked at CAA but $150,000 max. policy

AdamLein · #6 02-18-2009

You haven't explicitly stated that you need offshore coverage for the west coast. I suspect that's one of the biggest factors affecting price, so if you don't actually have a specific plan in mind to sail to San Diego this year, go with the "restricted" coverage for $500 or so.

My broker is HUB International and they found me coverage with a price tag I could tolerate a lot better than what you were offered. I was specifically looking for something that wouldn't have to be completely redone if I moved the boat to Canada... not exactly your situation but same universe.

Faster · #7 02-18-2009

Quote:

Originally Posted by sab30

Im told by everyone that unless Im a US citizen then I have to purchase in Canada as a Canadian/UK citizen. Boat will also be registered in Canada.

Ah, I see.... we currently have some friends cruising Mexico - 2 different couples, actually.... Next time I'm in contact I'll try to find out what they've done. Both left BC last August and are now in the PV/Manzinillo area.

Sailormann · #8 02-18-2009

I would expect that cruising insurance on a boat that is valued at $250K would be somewhere around $3K/annum. Insurance for coastal use should be 1% of agreed value, and I am under the impression that the offshore rider would be about $1K - but I might be low on that.

It seems the liability that you have been quoted on is low - a lot of marinas and clubs want 2 million coverage to let you tie up.

sab30 · #9 02-18-2009

Quote:

Originally Posted by AdamLein

You haven't explicitly stated that you need offshore coverage for the west coast. I suspect that's one of the biggest factors affecting price, so if you don't actually have a specific plan in mind to sail to San Diego this year, go with the "restricted" coverage for $500 or so.

My broker is HUB International and they found me coverage with a price tag I could tolerate a lot better than what you were offered. I was specifically looking for something that wouldn't have to be completely redone if I moved the boat to Canada... not exactly your situation but same universe.

The broker I talked to stated that as soon as the boat leaves local waters (ie south of Seattle) they process as a bluewater application...bluewater or not...

Im gonna check with Hub...had them before and they did a good job..I thought $2500-3000 would be fair...

AdamLein · #10 02-19-2009

Yeah, my warranty with Hub lets me go somewhat down the Washington coast and all the way up to Alaska. Check them out.

Also I'd second Sailormann's point about liability requirements... $1M or $2M is what I'd heard in most places around Puget Sound I stopped.