วันเสาร์ที่ 20 มีนาคม พ.ศ. 2553

Sinking Boat Insurance Myths

(NAPSI)-They don't believe in the Loch Ness Monster. They don't believe a friend caught Jaws fishing off the Florida coast. Yet some boaters think adding their boat to their homeowners policy protects them from all the incidents that happen on the water.

Leading boat insurer Progressive clears up those myths and shares tips so you have the information you need to choose the right insurance for yourself and your boat.

Myth: If I list my boat on my homeowners insurance policy, it's fully protected.

Fact: In some cases, you might cover your boat by adding it to your homeowners policy instead of buying specialized insurance. But specialized boat policies cover many incidents that a homeowners policy might not. For example, coverage available from Progressive will pay to clean up the spill if your boat leaks fuel, and pull your boat out of the water if it sinks. Homeowners policies won't provide that level of specialized coverage.

Getting stranded on the water can make for a long, expensive day, so consider buying specialized insurance to get towing coverage, too.

Myth: Boat insurance won't cover my fishing equipment if it's stolen.

Fact: With specialized boat insurance, you have the option to also cover personal belongings such as fishing equipment, cell phones and binoculars. So when you're buying your policy, review available optional coverages.

Myth: Specialized boat insurance is expensive.

Fact: A Progressive boat policy starts at around $100 and can provide more coverage than if you added your boat to your homeowners insurance.

Myth: Boat insurance covers me anywhere I go boating.

Fact: Some insurance companies only provide coverage where the boat is used most, and may limit coverage to within 100 nautical miles of your home port. Progressive provides coverage virtually anywhere you decide to go in the continental U.S. and Canada.

Canceling boat insurance policy can be costly

I want to alert boat owners about a certain clause in boat insurance plans that I just stumbled across this past week. I was told by my agent that this clause is put in place by the majority of, if not all, insurance companies.

I had my boat insurance through Allstate Insurance and decided to cancel my policy due to better pricing with a competitor. Back in December, I paid for a full year of coverage. When I changed insurance companies, I received a check from Allstate for a little less than half of my annual premium.

I contacted my agent and was told that recreational vehicles (boats and motorcycles) are front-loaded, whereby the insurance company charges you more in the beginning months of your plan year than in the final months.

Therefore, in my case, I was charged for six months of coverage when I only received three months.

This is just another way for insurance companies to take advantage of the consumer, meanwhile reporting record profits. I hope one of our state or federal representatives will read this letter and do something about it.

In the meantime, boaters, beware when you are canceling your boat insurance policy.

Larry Jock