THE TAKE-HOME MESSAGE
n Read and understand all slip and boat storage agreements thoroughly before signing.
Ignorance of the contract is not a defense against unfair practices.
n Review contract terms with the marine insurance company that covers your boat. It may
be possible to renegotiate terms that are more in your favor.
n BoatU.S. policyholders who are asked to sign such a contract should call the BoatU.S.
Underwriting Department, 800-283-2883, to review this material.
Underwriting, advises consumers to review
questionable contract terms with their insur-
ance companies. “BoatU.S. Marine Insurance
has helped to resolve issues like these and
come up with language that both sides can
In addition to hold-harmless clauses,
some marinas also try to get their customers
to agree to waive the right for their insur-
ance companies to subrogate or recover for
damages caused by the marina. Insurance
companies generally have the right to step
into the shoes of the party whom they
compensate (in other words, the insured
boat owner) and seek recovery from any
party legally responsible for the damage, and
whom the boat owner could have recovered
from directly. If the boat owner does any-
thing to interfere with the insurance com-
pany’s right to recover, such actions could
void his insurance coverage, or he could
end up having to return the amount paid
by his insurer. A few years ago, a Maryland
marina tried to require its customers to sign
an addendum to their regular slip agree-
ments, waiving their right to subrogate while
the marina was being renovated. Needless
to say, few customers were willing to do so,
even though the marina reduced slip fees by
10 percent, or about $500, a reduction that
wouldn’t come close to covering significant
ALL BOATU.S. MARINE INSURANCE POLICIES HAVE COVERAGE FOR LIABILITY ASSUMED UNDER A
WRITTEN BOAT STORAGE OR SLIP RENTAL CONTRACT. THIS COVERS THE INDEMNIFICATION PROBLEM.