Boat claims: what typically happens next

• Immediate safety: Make sure everyone is safe and address hazards (fuel leaks, sinking risk, fire danger).
  Emergency towing or haul-out costs are often covered when done to prevent further loss.
• Notify the carrier promptly: Provide date, location (GPS if available), conditions, and a clear description of what occurred.
  Marine claims rely heavily on environmental context—wind, water depth, tide, and visibility matter.
• Preserve evidence: Take photos and video of the vessel, damage, bilge, electronics, and surrounding area.
  Do not discard damaged parts until the adjuster confirms they’re no longer needed.

In boat claims, mitigation saves money—and documentation determines outcomes.

• Cause-of-loss analysis: The adjuster determines whether the loss resulted from collision, grounding, storm, fire, theft, or mechanical failure.
  Some policies exclude wear, corrosion, or lack of maintenance—cause matters.
• Policy form review: Marine policies vary more than auto or home policies (agreed value vs. ACV, navigation limits, lay-up periods).
  Coverage depends on when, where, and how the boat was being used.
• Early reserve setting: The insurer estimates potential repair, salvage, and liability exposure.
  Severe water intrusion or fire often escalates the file quickly.

Boat claims aren’t standardized—policy language and vessel details drive every decision.

• Haul-out inspection: Required for groundings, prop/shaft damage, hull breaches, or suspected structural issues.
  Costs are typically covered when necessary to assess covered damage.
• Mechanical evaluation: Engines, outdrives, and electrical systems may need teardown to identify water intrusion or impact damage.
  Saltwater exposure can turn a minor event into a major loss.
• Surveyor involvement: Larger or disputed claims may involve a marine surveyor for valuation and repair scope.
  Survey findings often determine whether repair or total loss is more economical.

Boats hide damage well—until corrosion, misalignment, or electrical failure shows up later.

• Proof of ownership: Title, registration, or bill of sale—especially important for newer purchases.
• Maintenance records: Service invoices for engines, winterization, and prior repairs.
  These help distinguish sudden loss from gradual deterioration.
• Survey or valuation: Prior surveys support agreed value and condition at policy inception.
• Usage details: Who was operating the vessel, where it was used, and whether it complied with navigation limits.
  Charter, racing, or commercial use can change coverage entirely.

Marine claims are proof-driven—condition and usage matter as much as the damage itself.

• Repair estimates: Marina or shipyard estimates are reviewed for scope, parts availability, and labor time.
  Seasonal backlogs can extend timelines significantly.
• Total loss thresholds: If repairs approach or exceed the insured value, the boat may be declared a total loss.
  Agreed value policies simplify this; ACV policies require valuation negotiation.
• Salvage: The insurer may take ownership of the damaged vessel after payment.
  Owners may sometimes retain salvage, depending on policy terms and settlement structure.

In marine claims, economics—not emotion—determine repair versus total loss.

• First 1–2 weeks: Reporting, mitigation, adjuster assignment, and initial inspection planning.
• Weeks 3–8: Haul-out, surveys, estimates, and mechanical diagnostics.
  Parts delays and yard scheduling are common during peak season.
• Months 2–6+: Repairs, settlement negotiations, or total loss resolution.
  Complex engine or electrical damage often drives longer timelines.

Boat claims move at the speed of water, weather, and shipyards—not body shops.

Will normal wear and tear be covered?
No. Marine policies typically exclude gradual deterioration, corrosion, and lack of maintenance.

What if the damage wasn’t obvious right away?
Report it as soon as it’s discovered. Hidden damage—especially from water intrusion—is common and evaluated based on cause.

Does my policy cover towing or salvage?
Often yes, but limits apply. Review your policy’s towing, assistance, and salvage provisions.

Can I choose my own repair yard?
Usually, yes—subject to adjuster approval and reasonable pricing.