Marine Insurance Claims
Our firm is frequently contacted by vessel owners who
have suffered some form of damage to their boat and have
filed an unsuccessful claim with their insurance company.
We have been successful with many of these cases, but
the boat owner has certain obligations that must be met
before his insurance company will consider payment of
a claim.
Marine insurance policies are generally controlled
by the doctrine of "uberrimae fidei," requiring
the parties to the policy to deal in "utmost good
faith." While this doctrine technically applies
equally to the insurance company as well as the policy
holder, it is most often applied to the boat owner, whose
disclosures at the time that he or she applied for the
policy are carefully examined. Simply put, the boat owner
is required to disclose any information which may be
related in any way to the coverage that is being considered,
and the insurer may avoid the payment of a claim even
if the failure to disclose was an innocent mistake. This
is one area where the assistance of an attorney may be
helpful at the time of your vessel purchase.
Another area of concern for a boat owner is the warranty
that he provides to the insurance company that requires
the owner to maintain the boat in a seaworthy condition.
This warranty frequently rears its head when a boat sinks
at its dock. Almost by definition, a boat that sinks
at its dock is not seaworthy, and the denial of an insurance
claim will cause the boat owner to suffer thousands of
dollars of damage. This loss is most often caused by
the incursion of water through a poorly maintained propeller
shaft packing, at a time when the bilge pumps are inoperable
for some reason. This is an extremely common chain of
events, and every year we receive a half-dozen or more
calls from boat owners who have experienced this catastrophe.
We are sometimes able to help, but our hands are frequently
tied. Each case is unique, so please do not hesitate
to call us. Better yet, pay close attention to your boat's
required maintenance!
