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Sometimes all it takes is one claim to raise a red flag, causing an underwriter do a reassessment. If no one has ever been injured by a power boat in 25 years of OW events, the risk would be considered low and the premium would reflect that. However, once you have an injury the underwriter may decide it was a risk he failed to identifiy and it was mere chance that it hadn't happened sooner. (An accident waiting to happen?) Once an underwriter makes that paradigm shift it can take a long time before they are ready to adjust down the nature and extent of the risk.
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Thanks for posting all this info. Unfortunately it makes for depressing reading, because I am not sure that USMS will be able to negotiate something significantly better than they have now. I hope I'm wrong. A new budget might be able to help LMSCs financially but the other requirements (prop guards, etc) dictated by the insurance companies may stay put no matter how many great ideas are generated by chaos' other thread and elsewhere.
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Sometimes all it takes is one claim to raise a red flag, causing an underwriter do a reassessment. If no one has ever been injured by a power boat in 25 years of OW events, the risk would be considered low and the premium would reflect that. However, once you have an injury the underwriter may decide it was a risk he failed to identifiy and it was mere chance that it hadn't happened sooner. (An accident waiting to happen?) Once an underwriter makes that paradigm shift it can take a long time before they are ready to adjust down the nature and extent of the risk.
...
Thanks for posting all this info. Unfortunately it makes for depressing reading, because I am not sure that USMS will be able to negotiate something significantly better than they have now. I hope I'm wrong. A new budget might be able to help LMSCs financially but the other requirements (prop guards, etc) dictated by the insurance companies may stay put no matter how many great ideas are generated by chaos' other thread and elsewhere.
