Conditional survey of yacht for insurance purposes.

Conditional survey of yacht for insurance purposes.

So, your insurer has made contact with you and requested that your vessel is subjected to a conditional survey; “Aaargh”, I hear you cry, more expense. Well, is that actually the case?

We carry out many of these surveys, and you would be quite surprised to see some of the results.  Recently, whilst doing a conditional survey, I entered into a conversation with the boat owner regarding the plans for the next few months cruising. The vessel, and the family who owned it, were crossing the Atlantic to spend a few months in the Caribbean. The vessel was a twenty-ish-year-old blue water cruising yacht that had already made this trip and returned in the last 5 years. “How old is the standing rigging”, I asked the owner? “As originally specified”, he replied. “But how old is it sir?”, I asked. “As I said, original” replied the owner! So, twenty some years old, it had crossed the Atlantic twice at 15 to 18 years old! “Sir, 1 X 19 wire has a life expectancy of 10 years when all safety factors are taken into consideration” I replied. He was not happy, but neither would his young family have been if they had been stranded mid-Atlantic, neither would he have been when the insurers declined his claim!

 

Next, I was looking around the engine.” I have just serviced the engine myself, I’ll start it for you”, the owner exclaimed, which he proceeded to do. “STOP THE ENGINE!” I shouted, which he then did. Why did I tell him to stop the engine?  The oil filter was cross threaded and engine oil was being forced out of the now defective seal, this would have resulted in catastrophic failure of his engine.

 

So far, we had saved the owner, and probably the insurers, quite a sum of money, for what could have been a dangerous situation for the family.

 

The vessel had quite a number of safety-related issues, the owner felt we were unfair until his wife became aware of the situation and insisted that all was dealt with prior to the family going sailing; she also called me and apologised.

 

The owner seemed more concerned with the fee than the results of the survey!

 

Insurers

It would seem, that the standard practice of Brokers and Insurers, is to ask for a Conditional survey every 10 Years. We know that this is not a rule that is upheld, especially with long-standing clients who with modern systems, just get an automated renewal note, and pay the premium. We feel that more emphasis should be put upon this, as it would significantly reduce the risk to the underwriters and more importantly, the clients who are sailing these vessels. We all know that some people assimilate the insurance business to professional gambling, so Underwriters, take an understandable risk and be a professional rather than an amateur. I would also suggest that ten years may be fine for the first survey, but it would in our opinion, be advisable to have a survey carried out every five years following on from the first. I know change is hard, but almost weekly, we see visual evidence of the current system having shortcomings.

 

Here comes the sales bit:

 

We have a network of surveyors that operate nationwide. Put your clients in touch with our office, we will do the rest. We aim to significantly reduce your risk and the risk to your clients. Contact us at support@yachtwork.co.uk or admin@yachtwork.co.uk

 

A simple email to all of your clients, asking them to confirm.

Age of vessel

Last survey date, with supporting evidence

Policy validity requirements

 

Next week, Building a boat

 

And the last line ….

Your Bottom Line!

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