Insurance

In an age when every penny counts, Stuart Field thinks spending good time and money on the right insurance deal is even more vital than ever . . .

Insurance for boats, unlike cars or motorbikes, is not yet a legal requirement in the UK. However there are ever increasing circumstances where proof of at least third party insurance is required before you can launch. Many UK marinas, harbours, waterways authorities and slipway operators already make such demands, while British Waterways, and more recently the Boards Authority, make insurance a requirement to boaters wishing to use their waters. Many European countries can, and do, frequently demand to see your insurance papers if towing a boat in their jurisdiction.

With increasing financial pressures affecting the vast majority of the population, most families are naturally on the look out to make savings - so it’s not surprising that insurance on something that’s not used every day seems a good place to make cuts. But in today’s world of compensation litigation, and the very high cost of boats and engines, is this really a risk you’re prepared to take?

In this feature we aim to show you that by carefully comparing insurance costs you may well be able to save money and still remain protected by insurance. But, before we do that, we are going to answer a few pertinent insurance questions with the help of Craftinsure.

For more on this, see the June 2010 issue of Boat Mart magazine or subscribe today.

Now she's yours it makes sense to ensure she's protected. But a new set of rules on the selling of insurance and mortgage finance come into force over the next 12 months. So what does it all mean for new and used boat sales, where financial services agency dealing is often regarded as a value-adding opportunity?

When you're in love, it's not always easy to think straight about the practicalities. You've fallen big-time for that boat in the showroom or the broker's yard. You'd sell your very soul for her. Yes, you tell the guy, you're ready to pay the asking price. And that's when he starts talking insurance. "Insurance?" you say distractedly, "Oh yeah, where do I sign?" How can a chap think about things like proposal forms and competitive quotes when his heart's aflame? Of course, the need to insure against relevant perils is an issue that any boat owner must take seriously. It's just that, at point-of-sale, conditions aren't always right for making well-informed choices with regard to such matters.

This is not to say that all sellers of boats, whether new or used, are out to gull starry-eyed buyers into signing up for an insurance policy or finance deal. However, there is that potential commission at stake. The dynamics of such business always place an incentive on the seller to add some extra value to the sale. The truth is that many a love-struck new boat owner has bought duff boat insurance or overlyexpensive finance at one time or another.

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