Salvage
How Best to Keep It From Happening to You
Photo by Andre Gaulin on Unsplash.
By Scott Croft, BoatUS Vice President Public Affairs
With hurricane season approaching, it’s time to think about the boat and make sure you’re prepared for a “worst case scenario.” Storms are increasing with frequency and severity, and the “it’s not that big a deal” approach to hurricane prep is long out of date. Make sure you’re covered and what to expect in the case you find your boat in a salvage situation.
What to do before hurricane season
Know your insurance policy’s salvage coverage, as well as wreck removal coverage. The first provides for safe removal of the boat after being impacted by a storm, and the vessel is headed for repair. The latter cleans up a wreck for disposal.
Now check your policy’s limits for salvage and wreck removal. Ensure that the costs for salvage and wreck removal are covered in addition to your hull coverage and cover both the removal and disposal of the boat, if needed.
Keep in mind that if your boat ends up in an area that requires a lot of equipment and labor to salvage, such as land cranes, barges and other transportation, salvage/wreck removal costs add up quickly.
If your boat ends up in a salvage situation, when it comes to pollution, a sad fact is hurricane damaged boats may leak fuel or oil. Ensure that your policy has a separate line on the declaration page for pollution coverage up to the federal maximum limit of $1,076,000. Again, better boat insurance policies offer this pollution coverage separate from the policy’s liability coverage.
While it’s not a limit, another check on the policy is to see if it includes a “Hurricane Haul-out” or storm provision that helps pay the cost to remove your boat from the water or hire a captain to move it to a safer location.
What to do when a storm passes
The storm has passed and you did the best you could to secure your boat but the conditions were too much for even the best preparation plans. What do I do now?
If insured, call your insurance company. Now is the time to rely on the policy you paid for. They will be able to tap into their network of salvage companies to arrange for the salvage or wreck removal of your boat – a difficult thing to do on your own. This is where having professional help can take care of things. Fly-by-night salvors may cause additional damage.
If you’re uninsured, or your liability-only policy limits salvage costs, understand you are still 100% responsible for salvaging the boat or removing the wreck from the water. Many states, including Florida, are very attuned to preventing abandoned derelict vessels, and will come down hard on you if fail to remove your boat or wreck, potentially revoking your ability to register any motor vehicle in the state and up to and including heavy fines, prison time and full restitution to the state.
Some local on-water towing companies, including TowBoatUS locations, may be able to offer professional salvage services so you may want to start there. This is where you need to find a reputable salvage service. Understand this process may take weeks, depending on the losses in your area.
Also know that on-water towing services typically exclude salvage because your boat will almost always be deemed “in-peril” after a hurricane, so you can’t rely on your towing plan membership for help. Salvage costs may run several hundred dollars per foot for simple jobs but can get pricey if a lot of equipment, time and expertise is needed. I’ve seen boats in backyard pools, or far inshore in environmentally sensitive areas or other unique circumstances. This is where having a good insurance policy is the best defense.
Become a BoatUS member:
Becoming one of the more than 725,000 BoatUS members is easy. Just go to BoatUS.com and click on “Become a Member.” Membership starts at $25 with add ons available for towing and trailering. There are more than 25 valuable BoatUS benefits, including discounts at local fuel docks and transient slips at marinas. Also included are a subscription to BoatUS Magazine, free DSC-VHF radio registration and more.
