2013 - A Good Run

As another year comes to a close I want to extend my thanks to everyone who made it  memorable and successful.    Much thanks to my loyal clients,  the insurance companies,  marinas, yacht clubs, surveyors, chandleries  and repairs shops that we rely on.   I also want to acknowledge  my staff and colleagues at CG&B,  Marcovitch PR, JR Media, Coast to Coast, and Heather Robertson for all the support you provided.   You have all helped make 2013 a Good Run for Skippers' Plan Marine Insurance.

I hope you enjoy this inspiring short film and take some time to remember all the important  people in your business and personal life.  

The Passion of Boating

I recently had the pleasure of speaking at a gathering of York Bassmasters .    The camaraderie in the room  was great as they exchanged friendly jabs and taunts about the past season.   From the energy in the room you would think it was the night before a big tournament, not a frosty night on the cusp of a long winter.     What brought them together was a shared passion for fishing and boating.   

York Bassmasters

This type of gathering will repeat itself hundreds of times over the winter at marinas, yacht clubs,  Power Squadron meetings,  and other boating groups.      It doesn't matter if it's sailing, fishing, antique and classic boat collectors; they gather because of their shared passion for boating.     I don't know of many golfers, skiers, cyclists or cottagers that get together unless it involves golfing, skiing, cycling or cottaging.    Yet I can lists dozens of boating groups and marinas that  have plans to get together this winter when the the boats are all laid up ashore.  This shared passion is a special part of the boating lifestyle.

As I reflect on this it reminds me that my business is not so much about insuring  property as it is about insuring your lifestyle.    There are lots of insurance brokers who can insure your "stuff" but do they really understand what boating means to you?  Can they help get your boat repaired in time for the fishing tournament, sailing regatta, or rendezvous ?  Do they know the surveyors, chandleries, repair shops, marina operators, and other people in the boating industry that can get you boating after an accident?  Are they part of boating lifestyle and support it outside of normal business hours?   This is the difference between insuring property and insuring the boating lifestyle.

There are only a small number of insurance brokers dedicated to serving the boating community in Canada.   In the New Year I am going to publish their names and contact information on this blog .  It might seem crazy listing competitors on my own blog but there is one good reason.   If you insure your boat with the wrong company there is a better chance that you will have a problem that could cause a financial loss.   One bad experience or a big loss might just  cause you to give up on boating altogether.   That would be a shame and from a selfish point of view I would never have the chance to earn your business.    Most of all I want people to enjoy hassle free boating with  peace of mind that comes from having the right insurance.

We have been insuring boaters for over 60 years and we love what we do.   At Skippers' Plan Insurance  -  We Share Your Passion. 

Dealing with the Ice storm

The following advice from Intact Insurance is for everyone  suffering through the power outages and ice storm damage across Ontario, Quebec and the Maritimes.    Hope you all have a Merry Christmas despite the problems caused by the storm.

Homeowners policies do not cover losses caused by freezing during the usual heating season in a heated portion of the home if someone has been away from their home for more than four consecutive days, unless the homeowner has: 

1. arranged for a competent person to check the home daily;
2. shut off the water supply and drained all the pipes and domestic water containers; or
3. their plumbing and heating system is connected to a monitored alarm station.

Before leaving the property, take the following precautions:

• Turn off the main water valve and drain water from the pipes and flush toilets several times. Keep the basement drain clear. 
• To prevent a power surge when the electricity does come back on, unplug all tools, appliances and electronic equipment and turn the thermostats down to minimum.
• Turn off all lights including Christmas lights, except one inside and one outside, until power is restored.
• Leave natural gas service on unless authorities tell you to turn it off.
• Lock your home.

Here are some other ways you can keep safe if staying at home without power:

• To prevent frozen pipes: Turn the taps on slightly so water can trickle through as pipes with running water will not freeze. Alternatively, turn off the main water supply and open the pipes completely.
• Take extra caution when using a wood-burning fireplace.
• Use a flashlight rather than candles to reduce the risk of fire. Do not use appliances intended for outdoor use indoors, such as camping or heating equipment and gas barbecues.
• Keep your fridge and freezer door closed as much as possible. A full freezer will keep food frozen for 24 to 36 hours if not opened.
• If you see downed power lines, stay far away and report them to your local power authority.

Once power is restored:

• Do not enter a flooded basement unless it is absolutely safe to do so.
• Flooded appliances, electrical outlets, switch boxes or fuse-breaker panels should not be used until they have been checked by an electrician.
• Replace the furnace flue if removed, and turn off the fuel to the standby heating unit.
• Turn the thermostats up, wait a few minutes, then plug in the fridge and freezer back in. Wait 10-15 minutes before plugging other appliances back in.
• Turn on water supply.

Check the food in your fridge and freezer for signs of spoilage. If in doubt, throw it out. Check the Food Safety website http://www.foodsafety.gov/keep/charts/refridg_food.html for details about specific foods

$2 million bungee cord accident

I was in the garage securing some boat gear with a bungee cord this morning.  As the cord slipped harmlessly from my hand it reminded me of an incident at Lake Muskoka in 1999.   Back then two friends were putting a 17 foot runabout on a trailer after a pleasant day of boating.     A bungee cord used to secure the engine cover slipped from the owner's hand and  stuck his guest in the eye.   There was a serious eye injury that resulted in a lawsuit.    The suit was settled before The Supreme Court seven years later and the judgement came in at  $2.2 million.   It is hard to imagine  a  simple mistake with bungee cord could cause such serious injury and end up before our highest court.

The lawsuit Isen v Simms is well known by maritime lawyers and insurance companies because of the ruling on application of the limitation of liability.    This section of the Canada Shipping Act would have capped the settlement at $1 million but the Supreme Court ruled otherwise.

For boat owners the moral of the story is that even small accidents can result in serious injury.  Make sure your boat policy has at least $2,000,000 coverage for third party damage and injuries.   You should also ask your broker about umbrella  liability coverage for any claims that could exceed coverage limits of your, home, auto or boat insurance.  

The Trouble with Hurricane Holes

If you are going south and your primary hurricane plan is to head to the closest hurricane hole be prepared to pay a lot for insurance .    A lot of people I speak to are surprised to discover this fact. 

A hurricane hole is a relatively safe place to run from a tropical cyclone  -  unless it is crowded with other boats.    In a crowded location there is a very high risk that another boat will drag anchor or break free.   When that occurs it wreaks havoc on the other boats, fouls other anchor lines and can take other boats with it onto the shore or coral reefs.    

The other consideration is how civilization has changed hurricane holes over the last 50 years.  Mangroves have been bulldozed to build condominiums and the natural shoreline has changed in many locations.   This can significantly reduce the safety of a hurricane hole.  

Every client who suffered a total loss or significant damage due to a hurricane was in a hurricane hole when the damage occurred.    I read about one hurricane hole in Puerto Rico  that was hit by the  eyewall of a category 4 hurricane.   In that storm over 60% of the 200 boats were severely damaged or sunk.   If you are hit with a Cat 4 or 5 storm a hurricane hole may provide very little protection.   Boats on shore are not immune to damage but it is usually much less severe.

The best choice is to simply get out of the way of an approaching hurricane.   Never attempt to move your boat unless you can make a safe harbour well ahead of the storm's forecasted arrival (24 hours minimum).   

If  moving  is not an option  the next best precaution is to haul the boat on shore in an area safe from storm surge.   Secure the boat by removing canvas, sails and other loose gear.  Hurricane tie-downs are also recommended.    If your boat has a drain plug make sure it is in.   

Only if moving or hauling out are not possible should you consider heading to  the closest hurricane hole.   Get there as early as possible and set your anchor with plenty of scope (7 to 1 minimum) and good chafing protection.   The most important consideration is that you never risk your life or that of your crew to protect the boat.   

If you tell your insurance company that your primary hurricane plan is to find the closest hurricane hole then you are going to be considered a high risk.  If you can get insurance it is going to be expensive. 

Everyone planning to head south should have a hurricane plan.  A good starting point for developing your hurricane plan is the Discover Boating Guide to Hurricane Preparation                                        

  www.discoverboating.com/resources/article.aspx?id=669

 Skippers Plan Insurance – Insuring your Boating Lifestyle

Graham Neale Now Working With Skippers' Plan

I am  pleased to announce that Graham Neale is  now with  The CG&B Group.  Graham brings a wealth of experience and knowledge of boat insurance,  particularly  the high performance market.    I look forward to working with him on new programs and initiatives.  

Graham will be joining us at the   Toronto International Boat Show in January so please stop by booth 1753 and say hello.

Boating Industry Canada  is carrying the press release today.

PERFORMANCE BOAT INSURANCE EXPERT GRAHAM NEALE WORKING WITH SKIPPERS' PLAN

New Ad for 2014

A sneak peek of our new advertising for 2014.   Appearing in  boating magazines soon.     

Getting Started

After years of  making excuses Skippers' Plan is entering the blogosphere starting January 2014.  I enjoy reading blogs like BikesnobNYC and have always wanted to find my voice in this medium.  My commitment to starting this blog came about during a presentation given by Randall Craig at the recent Boating Ontario Conference.  If you are curious about blogging or social media Randall's website is a great place to start.  

Over the next few weeks I will lay the building blocks of the blog before officially launching it just before The  Toronto International Boat Show .  This involves embedding the blog on Skippersplan.com, establishing a feed to Twitter, Facebook and LinkedIn to name a few.  I also have to educate myself more so there are no technical problems once I get started.

I look forward to using this blog to share my thoughts, insights and the experience in the marine insurance business with my clients, insurance colleagues and the connected world.