Help - Boat Accident and Insurance

[Captain Caveman]

A month and a half ago, some young person driving a company car tried to exit the highway from the middle lane. I was in the right lane and swerved into the shoulder to avoid the collision and laid on the horn. The driver moved back into their lane, slowed slightly and then attempted to cut behind me to exit. Of course, my boat and trailer were attached so they smashed into it. It put a 2ft long dent and scrape into the side of the boat that also peeled paint. You can see the bulge on the inside of the carpeted hull. The trailer fender got knocked loose and the side marker light is gone. Of course I was furious, but calmed down quickly when I realized how young the driver was and that they were trembling with fear. We exchanged info and I started a claim with their insurance company.

This all happened to my 2008 Alumacraft fishing boat/trailer/motor combo. Overall everything was and still is in good shape. The only way that my rig showed its age pre-accident was through marks on the paint from docks and other boats (tied up together while jigging with buddies). I took my boat to the dealer who said that the aluminum stretched and will never be restored to perfect shape. They also said that the cost of fixing the dent, repainting the boat, and all was going to far exceed the cost of the boat - well over $10k. I am still waiting for the estimate.

I've never dealt with the prospect of an insurance company "totaling" my boat but it sounds like that is a strong possibility. It seems as though I will never get my boat restored to pre-accident condition without spending a lot of my own money. From what I understand, the insurance company will just offer to send me a check for the pre-accident value of the boat, which is probably only $3k-$4k based upon my research. Now I really want to yell at that driver!

Has anyone dealt with a situation like this before, and how was it resolved?

Do they total the boat only since the trailer damage is minor and the motor was not involved - or do they total the entire combo? Do they value all of the add-ons if they total the entire package such as trolling motor, batteries, sonar, etc.?

How much can I negotiate/argue with the insurer about boat value?

I have done a lot of research about comparable used boat sales in my area. There are comps but as we all know, there is no reliable blue book for 17yr old boats.

 

[Captain Caveman]

I finally got into the shop to buy all of my maintenance parts/fluids for winterization later this fall.

Regarding how insurance companies determine what gets totaled, the shop guys said that insurers typically value the entire package as one - boat, motor, trailer. They total your entire package regardless of damage because that is how they will sell it at auction. They aren't going to remove motor or anything else that is "bolted" to the boat.

Another point the guys made was that insurers typically declare something as "totaled" when it hits 70% (+/- 10%) of pre-accident value.

I see similar boat/motor/trailer packages selling (eg *asking*) online for $11k-$17k. These are similar years, models, and motors. Mine was in very good shape, so if we take the median of $14k and apply the 70% limit, I calculate a threshold of $9,800. If my damage is above that they will total the boat - assuming all of the variables above hold.

I'm writing this in case someone else has to deal with a similar problem. I'll update as I learn more, but still want to hear what happened when others had to deal with insurance.

 

[aspeck]

I am just seeing this, and yes, the insurance companies will total the whole package, not just the naked boat. You will want to make sure the insurance company knows all of the add-ons to the boat that increase the value of said boat and that they take into consideration the pre-accident condition of the boat.

You do not have to accept their first offer. Expect them come in with a lower offer than acceptable on first offer. They want to see what you will take because they are in business to make money, not give it away. You have in your favor that the kid that hit you was at fault 100% and they are on the hook for his damages.

Good-luck as you navigate this situation.

 

[tpenfield]

It sounds like the OP would like to keep the boat ? I'm wondering what the insurance might do for a settlement in a situation like that?

Note for future . . . An 'agreed value' insurance policy may be a better way to go, since value is established at the outset of the policy.

 

[redneck joe]

Yeah take the money and keep the boat if you can. Still negotiate, dont tell them up front you want to jeep it.

Also, a 100 bucks for a laywer to sign off on your very detailed and very well assembled counter offer will be well worth the dollars spent to have him or her send it to them on you behalf.

 

[airshot]

Just went thru this with my vehicle less than 2 months back. Long story short....your gonna get screwed....not what you want to hear, but the insurance company has control. In my case, I had to find a comparible equipped make and model vehicle and must be at an actual dealer with a vin number to show a compatible vehicle. Anything beyond a 100 mile radius will not be considered. After 6 dealers scoured the area and found no comparible vehicles, I was stuck with the ins estimate of value. My attorney said filing a lawsuit was not worth the cost.
One reason your boat repair is so expensive is it needs to be returned to the factory to replace that section that is damaged. It can take up to 6 months to get that done. I speak from experience as my Star craft was in an accident some years back. Had to go back to the factory in Indiana to replace a section of the bottom. Dropped off in August and wasn't done until April the following year. They had to fit it in so it did not alter the production schedule.
Bottom line is....you will be taking money out of your own pocket to get it replaced or repaired. Insurance companies have it setup so they make the profit and the owner does not make any money on the claim. As suggested, have an agreed upon price value when you get it fixed or replaced. Even then you won't win or get ahead, but your loss will be minimum. Your only other choice us to file a lawsuit....even if you win, the attorney gets 33% or more. Good Luck...

 

[JimS123]

Has anyone dealt with a situation like this before, and how was it resolved?

My story dates to 1971, so the costs I list are quite dated.

My introduction into boating was in 1968 when I bought a $165 boat kit and built my pride and joy in Grandpa's garage. Three years of pure pride, and of course pleasure.

Three years later I was on my way to my girlfriend's house to pick her up. It was Sunday noon - sunshine and blue skies. Stopped for a red light. Two minutes later he hit me from behind. The tongue of the trailer split in half and the ball became impaled in my gas tank. The bow of the boat ended up in the back seat of my convertible (top was down)

The guy was in a borrowed car. He had a suspended license. Fortunately, the owner of the car had insurance.

Good for me my girlfriend's father (my future father-in-law) had an old boat trailer in the back yard, so I got the boat home. The axle, and other parts were transport ed in the back seat of the car.

I had to get estimates for the insurance. I had a boat repair dealer come over and he was peoed that the boat was wood. But he gave an estimate anyway. Replace transom, side ribs, replace seats, etc. The bill was $2100. An auto repair shop quoted me $800 for a new gas tank, new bumper, trunk lid, etc.

The insurance guy came over and said there was more damage to the car than quoted, so he upped the $800 claim. Then, he looked at the boat and said: "What's a transom?" I knew I was in trouble.

With the motor and trailer I had maybe $1500 in the rig. Resale value was probably less than that.

When the insurance adjuster called me on the phone she said that they would not pay the $2100 because the boat was not worth that much. Would I accept $500? I said I was not sure. I had to see the doctor again for x-rays since my neck hurt after the accident.

An hour later she called back and offered the full amount......IF I signed a waiver that I would charge no more later.

Good for me the Evinrude 40HP Lark was spared in the accident. I had a buddy weld the broken trailer and used it on a trade-in for a brand spanking new fiberglass runabout. It cost me $0 with the settlement.

Sorry for the long rant. Bottom line is everything is negotiable. Maybe your neck hurts now too....

 

[Scott Danforth]

Bud of mine had a VP gearbox blow about 15 years ago. A remanufactured drive was $10k, the boat worth about $12k. They totaled the boat. He bought the boat back for about $1k and spent $1500 on a used drive and did the work himself

Same insurance company insured the same boat after the fact.

Being the OPs boat is aluminum, a bit of body work may be needed but there are ways to come out ahead, especially since the other driver is 100% at fault