Charter deposit insurance for the most curious ones
Charter deposit insurance is a topic of great interest for our customers, so, today we are going to reveal this topic in more detail for the most curious ones among you.
Does the insurance cover all the cases?
Charter deposit insurance, like any other insurance, is a subject of certain discussions. Depending on the insurance company itself and the amount of contribution, some exceptions may be singled out. Its general rule is quite simple, the higher the insurance contribution is, the fewer are the exceptions, the lower the contribution is, the more exceptions can be found. In general, the insurance doesn’t always cover all the cases.
What can stay uninsured?
The insurance often does not cover the skipper’s gross negligence, i.e. a skipper cause damages to other yachts under the influence of alcohol. In this case, the compensation will not be paid. As for the cheap insurance, it does not cover, for example, the loss of a boat or an outboard motor, the loss of an anchor, any damages caused to its sides or sails, i.e. the most common damages. Good insurance (usually the most expensive one) covers all possible incidents. That is why it is worth reviewing the conditions of insurance, deposit and rent, during the check-in, because what really can happen to you may turn out not to be included.
Be smart here and now
How to find it out, in case of a certain boat and its insurance? Unfortunately, the only way is to look through the insurance conditions during the check-in procedure. The easiest way is to ask an operator directly what the insurance does not cover.
So-called deposit-free charters
Please take into account that in case no deposit is required, the insurance is still included in the price of a charter or a charter package, so you may be obligated to cover the damage caused by the gross negligence from your side. The lack of deposit does not mean the lack of responsibility.
When you take part in a commercial cruise with a hired skipper or a skipper who rents a yacht, decided to organize a paid cruise on it, deposit insurance may not work in this case. This type of insurance is usually provided for non-commercial cruises only.
As for the commercial cruises, a skipper must have his own insurance in case of deposit loss, in addition, he must provide his services on the legal basis. Unfortunately, it is a common practice to attract skippers who do have the appropriate licenses and sailing experience, but do not work legally in the country where a charter takes place, or are improperly insured.
Nevertheless, it really works 🙂
However, the most important thing is that deposit insurance really works in fact :). The cases described are a kind of exceptions. In our clients’ feedbacks and our own experience, it is evident that deposit insurance is a reasonable expense and it solves 99% of the problems associated with the deposit deductions for the damages caused, providing you a fairly laid-back stress-free trip.