Announcement

Collapse
No announcement yet.

SkiSafe Insurance Warning!

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • SkiSafe Insurance Warning!

    Last July my boat sank at my dock. Root cause was not officially determined, but my guess it had to do with a battery went bad, thus but running the auto bulge pumps, allowing the slow leak through the driveshaft seal to sink the boat over a 2 week period.

    When I bought the boat in late 2017, I searched the forum for insurance companies and saw a lot of favorable recommendations for SkiSafe. After 2.5 years, I needed to make a claim. The initial salvage by SeaTow went off without a hitch and how I expected an insurance company to handle a boat sinking. SkiSafe paid SeaTow directly and I didn’t need to play the middleman. This is where SkiSafe stopped meeting my expectations for an insurance company.

    Once I got the boat out of the water (mind you this was now 8:00 pm on a Friday night) and on the trailer, I called around all day Saturday to find someone to pickle the engine. The boat was taken and the engine and trans were pulled to have diesel pumped through and spun to pressurize the oil system. I had to pay this expense out of pocket, but was told that the service would be covered. However, it would count against the insured value of the boat. SkiSafe did not have any recommended repair places, and I didn’t trust any of the local marine yards since I’m in brackish water and everyone has crab/fishing boats, cruisers, or sail boats. The “local” MasteCraft dealer didn’t want to touch it since they had too much work already and don’t do interior work. The shop next to them wanted $1,000 just to provide an insurance quote. So I contacted Viper Customs to see if they’d take a look at it since they have had good reviews on here as well.

    I had to rent a pickup to put the engine and trans in the bed shrink wrapped on a pallet and tow the boat form MD to TN. I dropped the boat off with Jim at Viper, and got a repair quote a few days later. I sent this to my adjuster at SkiSafe and expected them to either authorize the repairs or consider the boat totaled since the cost was within $5k of the insured value. What they did next was completely unexpected. They took the quote and depreciated all the parts by 65%! Since most of the cost was in new parts, this left me with a check for less than half the value of my policy!

    It took from late July until early February to finally get my boat to be considered totaled and collect the remainder of what SkiSafe owed me. My warning to everyone, please read your policies to ensure that they don’t depreciate your parts! It is typically 10%/year up to a maximum of 70% depreciation. So if you have a 7 year old boat insured for 100,000, you may only get $30,000 to repair your boat if it is deemed repairable. I had to make many many many phone calls, write mAny emails and do a lot of leg work, including handling the sale of the salvage boat in order to receive the final value of my policy. I would not recommend SkiSafe to anyone out there.

    I’m not sure how to rotate these pictures on my phone, but here’s what the boat looked like sunk at the dock.
    Attached Files

  • #2
    That sounded like a complete nightmare. Thanks for sharing the information. I'm shopping for new insurance carrier now.

    Comment


    • #3
      Thanks for sharing. Lots of places look good on paper and even more so when they are more affordable, but all it takes is a mess like this to see that they should not be getting people's business.

      Comment


      • #4
        This sucks for OP. NEVER shop insurance based on premium alone.

        Comment


        • #5
          Thank you for sharing this story, that sounds like a mess, no one should have to go through. My thoughts are with you. Hoping everything will work out for you.

          I have had SkiSafe for coming up on 8 years, based on the recommendations from this forum and the constant threads on the Mastercraft Facebook pages. Never made a single claim yet. But with this story, going to make me think about is the coverage worth the reduced premium vs. the other guys.

          What always seemed like a perk with SkiSafe was they allowed you to declare your own value of your boat.

          Who deems the boat "repairable" vs. salvaged? The insurance company?

          Any recommendations which other companies out there "do not depreciate parts".

          Comment


          • #6
            Originally posted by John Johnson View Post
            This sucks for OP. NEVER shop insurance based on premium alone.
            I've used and advocated for ski-safe as an insurer. I've heard nothing but good things about them until this thread. Sounds like OP did his research before using ski-safe and didn't shop on premium alone.

            I switched to BoatUS from ski-safe due mostly to no layup period. I used to use the boat a lot in March and October, which fall outside of any 6 month layup.
            Prior boats - (3) X14's, (3) Prostars, and a Tristar.

            Comment


            • #7
              And the other big issue is whether the boat is insured for an agreed upon value. Mine always have been, or at least for the past decade or more...
              Prior boats - (3) X14's, (3) Prostars, and a Tristar.

              Comment


              • #8
                Sorry to hear of your ordeal.

                Curious, did you have AGV or ACV coverage?

                Comment


                • #9
                  I just insured our brand new X24 with SkiSafe but this got me a bit worried so I started going back through the policy in detail. Depreciation seems to be on machinery over 8 years old Sonji think I’m ok there. However this line scares me. Am I reading this correctly that since my boat is within 36 months of new purchase they can limit the total loss payout to $100k? That would be a huge problem if so and I’ll be calling tomorrow for sure.

                  “AMOUNTOFINSURANCE:
                  a. This is an agreed value contract except for property subject to depreciation as identified below. In the event of a total loss to your Boat, Dinghy or Trailer we will pay the lesser of the respective Part D: Property Damage Amount of Insurance as shown on the Declarations Page or the cost of replacement. However, if a total loss of the
                  Boat occurs within the first thirty-six (36) consecutive months immediately after you have purchased the Boat new (no prior owner or user and no more than one year since the manufacture date) and the Boat was not purchased subject to any promotional agreement with the dealer or manufacturer, then we will pay to replace the Boat with the same model, or if such model is not available, a comparable model. In either case, such replacement will be new. The most we will pay to replace the Boat will be will be the lesser of 120% of the Part D: Property Damage Amount of Insurance for the Boat shown on the Declarations Page or $100,000.”

                  Comment


                  • #10
                    I ran into the depreciation clause about 10 years ago while buying insurance (fortunately). It was amazing how different the insurance quotes look once you have everyone bidding replacement cost. I'm once again at BoatUS after Progressive tried to slip in a change to my insurance that included depreciation once my then boat turn 10. At 70% depreciation on a $40K boat if it does get totaled you could easily be put out of boating being left with only $12K of your $40K boat.

                    Comment


                    • #11
                      Wow! Not sure what to say. As most of you know, my boat caught fire last summer, it was an 08 X30, so it was 12 years old. I happen to use Chubb, just because that is what my broker got me and the rate was very low. We had an agreed upon value of 49,995.00, which is what is the price I paid for the boat. Initially, chubb wanted to repair the boat for about $25k, but I contacted them again to see if they would total it out, which they actually did and I got exactly what my police was for. I highly recommend Chubb
                      08 X30 - deader than dead...and crispy.

                      Comment


                      • #12
                        Originally posted by carlsonwa View Post
                        Thank you for sharing this story, that sounds like a mess, no one should have to go through. My thoughts are with you. Hoping everything will work out for you.

                        I have had SkiSafe for coming up on 8 years, based on the recommendations from this forum and the constant threads on the Mastercraft Facebook pages. Never made a single claim yet. But with this story, going to make me think about is the coverage worth the reduced premium vs. the other guys.

                        What always seemed like a perk with SkiSafe was they allowed you to declare your own value of your boat.

                        Who deems the boat "repairable" vs. salvaged? The insurance company?

                        Any recommendations which other companies out there "do not depreciate parts".
                        SkiSafe determined whether it was repairable or a constructive loss based solely on the repair quote. The only way I could get it totaled was to get a repair quote over $60,000, so when they depreciated the parts, the total still came out above the covered amount.

                        I’ve insured my replacement boat through BoatUS/Progressive. Unfortunately Chubb declined to give me a quote due to my recent loss.

                        Comment


                        • #13
                          Originally posted by osmonet View Post
                          Sorry to hear of your ordeal.

                          Curious, did you have AGV or ACV coverage?
                          It was supposedly an AGV, but they treated repairs as ACV. Only a complete loss is treated as AGV.

                          Comment


                          • #14
                            Originally posted by bturner2 View Post
                            I ran into the depreciation clause about 10 years ago while buying insurance (fortunately). It was amazing how different the insurance quotes look once you have everyone bidding replacement cost. I'm once again at BoatUS after Progressive tried to slip in a change to my insurance that included depreciation once my then boat turn 10. At 70% depreciation on a $40K boat if it does get totaled you could easily be put out of boating being left with only $12K of your $40K boat.
                            That’s interesting that Progressive and Boat US gave 2 different quotes since Boat US is underwritten by Progressive.

                            Comment


                            • #15
                              Originally posted by MeyersRL View Post
                              I just insured our brand new X24 with SkiSafe but this got me a bit worried so I started going back through the policy in detail. Depreciation seems to be on machinery over 8 years old Sonji think I’m ok there. However this line scares me. Am I reading this correctly that since my boat is within 36 months of new purchase they can limit the total loss payout to $100k? That would be a huge problem if so and I’ll be calling tomorrow for sure.

                              “AMOUNTOFINSURANCE:
                              a. This is an agreed value contract except for property subject to depreciation as identified below. In the event of a total loss to your Boat, Dinghy or Trailer we will pay the lesser of the respective Part D: Property Damage Amount of Insurance as shown on the Declarations Page or the cost of replacement. However, if a total loss of the
                              Boat occurs within the first thirty-six (36) consecutive months immediately after you have purchased the Boat new (no prior owner or user and no more than one year since the manufacture date) and the Boat was not purchased subject to any promotional agreement with the dealer or manufacturer, then we will pay to replace the Boat with the same model, or if such model is not available, a comparable model. In either case, such replacement will be new. The most we will pay to replace the Boat will be will be the lesser of 120% of the Part D: Property Damage Amount of Insurance for the Boat shown on the Declarations Page or $100,000.”
                              It sure sounds like they won’t pay more than $100k. You may want to get that clarified. Just make sure the person you call is knowledgeable and get their name, extension #, and any other ID# in case you need to call them out in court if they don’t give you the correct information.

                              Comment

                              Working...
                              X