Do You Need Consequential Damage Coverage?
Consequential Damage Coverage is featured on the Seaworthy Charter, Yacht and Super Yacht Policies. This covers immediate consequential property damage resulting from any fire, explosion, grounding, sinking, demasting, collision or stranding even when the original cause of loss is excluded, such as wear, tear, gradual deterioration, or mechanical/electrical breakdown.
If wear and tear on a cracked hose causes a boat to sink at the dock, many providers won’t cover the resulting damage to the boat (or the cost to refloat it if it sinks) because the initial cause, the deteriorated (cracked) hose isn’t covered. This could cost a boat owner significant out of pocket expense unless their insurance policy covers the “consequential damage.” The Seaworthy policies would cover this type of situation; however it is important to note that each claim is different and handled individually on its own merits.
Did You Know?
New legislation has been introduced to fix renewable fuel standards. The Renewable Fuel Standard Reform Act of 2015 would recognize the failure of the current Renewable Fuel Standard (RFS) and its out of date ethanol-mandate, and make the necessary changes so there is a safe fuel for all gasoline powered engines.
It is illegal to use E15 in boat engines, snowmobiles, motorcycles, small engines such as lawnmowers and leaf blowers as well as any vehicle made before 2001. However, this fuel can now be found at over 100 gas stations in 16 states at the same pumps as E10 and ethanol-free gasoline. The new bill would cap the ethanol requirements at E10 (10 percent ethanol), would effectively prohibit the use of corn-based ethanol in the RFS, require more advanced biofuels and take into account actual, real-world production of biofuels when setting requirements.
For more information about boat insurance, give Casey Insurance Group a call at 888-537-1412.