(July 2024)
1. Round up the combined ACV for the boat and motor to the nearest $1,000
* 2. Calculate the Basic Property Premium by multiplying the Base Property Loss Cost by the applicable insurance limit relativity
** 3. Multiply the result of step 2 by the applicable Navigation Territory Factor
4. Multiply the result of step 3 by the applicable Type of Boat Factor
5. Multiply the result of step 4 by the applicable deductible factor
6. Multiply the result of step 5 by any applicable premium modification factor
1. Select the liability rate group using the craft’s total length and engine horsepower
* 2. Based on the rate group, select the applicable base liability loss cost *
3. If applicable, multiply the base liability loss cost by the applicable increased Liability Limit factor
4. If applicable, add the additional flat charge for the increased Medical Payments limit to either the amount from step 2 or step 3.
5. Multiply the result from Step 4 by any Premium Modification Factors
6. Add any flat charges for any selected endorsement options
Total premium – Add results of the Boat and Liability rating steps.
* This figure should also be subject to a given company’s loss cost multiplier.
** Use the highest territory factor if boat is operated in more than one territory.
Certain equipment used for navigation, safety or theft prevention typically results in premium credits: such as alarms (fire, smoke, and theft), built-in extinguishing systems, depth-finders, diesel powered engines, fume/vapor detectors, radar, and ship to shore radios. When a boatowner policy includes property that is towed, a trailer attachment locking/security device may also receive a credit.
Situations that typically generate a premium credit are training in navigation and having craft operating experience of above a certain minimal level.
The only item that generates a surcharge (depending upon the applicable insurer) is multiple-ownership of the craft.