One of the main questions boat owners ask is can you insure a boat without a survey? The answer to this question depends. This is because every insurer sets its own guidelines. Some insurers will require a survey to be done while others will not. The best way to answer this question is thus to contact an insurer directly and ask them. However, if your vessel is more than 10 years old, it is common for insurance companies to require a marine survey in Fort Lauderdale.
There are several conditions that cause an insurer to request an Ft Lauderdale marine survey. The main conditions are when your vessel is old. Older vessels are prone to issues and are harder to maintain and repair. As a result, an insurer may even require an out-of-water survey to get a more comprehensive marine survey report. An insurer may also require a survey to be done if your boat is of an unknown make or model. The purpose of the survey, in this case, is to determine if the vessel is well-built and that the builder has a good reputation.
Difference between insurance survey and pre-purchase survey
When buying a boat, it is important to note that there are sellers that will present an insurance survey and try to pass it as an adequate pre-purchase survey. The truth is there are a lot of differences between the two types of surveys. A pre-purchase survey is more comprehensive than an insurance survey. It checks everything and often involves a haul-out as well as a sea trial. An insurance survey, on the other hand, focuses on the key items required by an insurance company. This means it does not evaluate the entire vessel.
When buying a pre-owned boat, you must never settle for the insurance survey. You need a pre-purchase survey that assesses the condition of the vessel thoroughly. Pre-purchase surveys include inspecting the operation of the electronics, engine condition, navigation gear, lighting, and everything on the boat. An insurance survey focuses on a list provided by an insurance company.
Agreed Versus Market Value
When taking out an insurance policy, it is paramount that you understand the difference between an agreed value and a market value. These are the two options provided by insurance companies. The market value policy can fluctuate. You may have spent more to insure the boat than you will get back if there is a total loss. Agreed value, on the other hand, means that the insurer and you agree on a set value. If there is a total loss, the insurer will pay the agreed value and not the current market value.
As you can see, there is no simple answer to the question of whether can you insure a boat without a survey. Discussing with your insurance provider is the only way to get a clear answer to this question.