When Insurance Companies Don’t Want to Pay Up

When the unexpected happens boat owners expect to file an insurance claim to recover damages. However, it’s not always that easy.

 We’ve seen a few instances lately where obvious lower unit damage occurred and the only remedy was replacing the lower unit. Some claims seem straight forward when there is damage from a collision and the obvious bent, fractured or gouged lower unit, and propeller tell the story.

But not always! There are as many companies writing insurance as there are boat brands nowadays and, unfortunately, some seem more interested in protecting their bottom line more than their client’s best interests. What do you do when you have a claim and the insurance company sends out a marine surveyor or adjuster?  

Three important questions you should ask: Will I receive a copy of the surveyor’s report prior to the decision? May I or a representative be present when the surveyor is on site? May I record the inspection process?

You may not be aware that some insurance companies have become so cost-conscious that they send Uber drivers to take photos, or tell you they’re sending a certified marine surveyor to inspect the damage. What they do not tell you is that the person with the official sounding title is only there to take photos and write the case. The insurance company then makes an internal decision to avoid the expense of a professional on-site opinion.

Some insurance companies look for any reason to deny a claim, hoping the boat owner will accept the decision because the majority of owners have neither the time or expertise to offer a challenge.

Remember these things: Maintain your outboard motor with regular professional service. Keep detailed records. Your insurance company may not be your best friend.  

Have a safe and fun summer season!

Chris Mapp

Coastal Bend Marine – Port O’Connor, TX
Coastalbendmarine.com – 361-983-4841