As Summer approaches have you updated your Trailer Yacht Insurance?

The trailer yacht fleet, like all of us, is getting older - there are some boats that are approaching 40 years old. As boats age there is more risk that claims may be made. That is why it is important to regularly review your boat insurance and ensure that your boat is maintained properly.

It is also why the insurance underwriter, in this case Vero, has requested that vessels 35 year of age and older are subject to the following additional requirement:

For older vessels permanently stored on a trailer -

  • Under $5,000 in value no additional action required.
  • $5,000 and over, a series of recent colour photographs are required.

The photos should be date stamped less than 6 months old and clearly show:

  • Outside: Front on, side on (both Port and Starboard) and rear of the craft;
  • Inside: deck, cabin, electronics.

In most cases this should be all the additional information required, but each set of circumstances is different. If further information is required this will be discussed with you at the time.

This is a significant change to the previous terms and conditions that Crombie Lockwood has renegotiated, for NZTYA scheme members, with Vero. Until November 2014, Vero required a compulsory condition report for vessels over 25 years old and worth $15,000 or more.

Some other conditions you should be aware of:

  • Theft of outboard motors is excluded unless they are securely locked to the boat or stored in a securely locked part of the boat or stored in a locked building.
  • Racing Risks are automatically included
  • The sum insured is based on market value. This means the reasonable retail value of the boat and other property immediately prior to the loss or damage. Owners are encouraged to obtain an up-to-date valuation to help establish how they should calculate the sum insured.
  • The sum insured should be revisited at least every two years. Adjusting the sum insured in accordance with a recent valuation helps meet owner expectations should their boat become a total loss. This also ensures that your premium is relative to the sum insured.

The relationship between NZTYA and Crombie Lockwood has been in existence since 1976 and has proved beneficial for all parties. A large number of NZTYA members use the service and we encourage members to continue to their support.

Insurance Matters. For more information visit Crombie Lockwood.

Posted: Tue 14 Apr 2015