Click for Nordhavn Click for MotorCheck Click for Mulder Click for Nordhavn Click for Cross

Insurance for freelance Captains?

Discussion in 'Yacht Captains' started by Islandtime, Sep 24, 2008.

You need to be registered and signed in to view this content.
  1. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    Yea, But before we step foot on any boat we have a contract and understanding of liability.
    The boats we move and manage are all informed of us as port captains, delivering captains and port managers. Their insurance companies send us letters agreeing to these involvements.
    If the boat are not insured, were not involved.
    Were also tow endorsed and covered within these scopes of operation.
    I'm still confused.
    Last edited: Apr 21, 2018
  2. Beau

    Beau Senior Member

    Joined:
    Jan 15, 2010
    Messages:
    2,261
    Location:
    Beaufort, NC
    OB, unless the insurance company has explicitly agreed to cover you, that owner's contract is perhaps useless...? Can't bind a third party without their consent, I've heard. Dunno.... I'm pleading with you good hard working folks to speak with your insurance co and lawyer. I wish I knew more about this area - I don't. I also don't want to create concern when none existed, but its a worthwhile conversation.
    Last edited: Apr 21, 2018
  3. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    unless the insurance company has explicitly agreed to cover you, that contract is perhaps useless...?

    I don't need to stretch my self. Without a complete deal/contract in text from the owner, And a note from the insurance company that We are authorized to move the boat from point A to Z, In any manor I see fit best or the boat can stay on the dock.
    We require the extra note from the insurance company authorizing us for night operation off shore. I have mentioned this before on another thread.
    It's no woo to me. I make more money on the docks anyway with less issues and can sleep late.

    But, Before I center rudders and throw somebody else s lines off, I'm on their policy.

    So why do I need additional insurance?
    Last edited: Apr 22, 2018
  4. Beau

    Beau Senior Member

    Joined:
    Jan 15, 2010
    Messages:
    2,261
    Location:
    Beaufort, NC
    Ralph, you may be doing it correctly and in better shape than others that don't have that insurance company's endorsement (do you know the dollar limits, are you covered by the umbrella, are defense costs covered in addition to a liability recovery?). Again, I'm not providing advice, just discussing/suggesting captains should not make assumptions about coverage without checking with their own professionals. That is why I think you folks should have some professional organization to help answer these questions economically. For instance, a captain's organization could prepare a standard endorsement to be used by all captains which could be delivered to all insurance companies when providing coverage. Remember the question that started this thread.
    Last edited: Apr 22, 2018
  5. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    And restarted.
    Freelance Captain Insurance.
  6. Ryan Burnett

    Ryan Burnett New Member

    Joined:
    Mar 6, 2024
    Messages:
    5
    Location:
    Gloucester, MA
    Hi everyone, the last post was from 2009. But, I figured it wouldn't hurt to comment on this subject because I just started an LLC for my services as a freelance captain. I ended up getting a basic insurance coverage with 360 Coverage Pros. They are based out of Florida and seem to be the only legit company that offers insurance coverage for freelance captain's. Correct me if I'm wrong - I am new to business and freelance work.

    Anyways, I'm interested in learning and would greatly appreciate any guidance or advice. Please let me know your thoughts.

    Thanks,
    Ryan Burnett
  7. SplashFl

    SplashFl Active Member

    Joined:
    Feb 2, 2021
    Messages:
    425
    Location:
    S. Florida _ Bertram 46
    Are you sure you have a legit insurance company? I don't see it on Sunbiz, DBPR, and a search on a Florida Registered insurance company site replied back: Your search for companies with (360 Coverage Pros) as part of their names returned 0 records.
  8. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
  9. Norseman

    Norseman Senior Member

    Joined:
    Feb 24, 2005
    Messages:
    2,904
    Location:
    Ft. Lauderdale
    As discussed before: A free lance Captain, Contract Captain, whatever should be covered by
    The ship ‘s insurance if meeting minimum qualifications for the policy.
    In fact I got my first “Captain’s” job because the insurance company told the owner to hire a Licensed Captain from now on..(The owner kept running into things and he kept hitting the bottom, expensive props on the 2001 Johnson 70:()
  10. Ryan Burnett

    Ryan Burnett New Member

    Joined:
    Mar 6, 2024
    Messages:
    5
    Location:
    Gloucester, MA

    Hi,

    This company was recommended by an insurance broker who used to cover the charter company I worked for. Here is the link:

    Mod edit: Link disabled.

    I doubt it's a scam.
    Last edited by a moderator: Mar 24, 2024 at 8:47 PM
  11. Ryan Burnett

    Ryan Burnett New Member

    Joined:
    Mar 6, 2024
    Messages:
    5
    Location:
    Gloucester, MA

    I understand your point, but what if I work for several different boats throughout the summer months? Some of these boats will be smaller than what you're thinking of. Plus, it is not a bad idea to get coverage for myself in my opinion. You never know these days.
  12. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    All of these several different boats should all have their own insurance or I would not step on them.
    #1 rule of all claims, it's not your boat.
    But, Do what make you feel best.
  13. Ryan Burnett

    Ryan Burnett New Member

    Joined:
    Mar 6, 2024
    Messages:
    5
    Location:
    Gloucester, MA
    I agree with you, but in my situation, I've worked on one vessel 50 feet for the last two years (mid summer to early fall). I was paid cash until last year, and the owner sent me a 1099.

    So, I started a single member of LLC and decided to pursue the freelance route. My plan is to keep working on the 50 foot vessel, but I will advertise myself for other vessel owners that need a 100 ton captain. I'm open to what others have to say - since I am fairly new to working for myself.

    I have an insurance policy that runs parallel to the vessel’s policy which myself, an employer, or a vessel owner, has for the vessel (generally termed P&I, hull, and/or MGL/vessel policy) and protects my license and myself from the financial costs and liabilities in the event of a vessel incident or shipping casualty (collision, allision, grounding, etc.) leading to litigation or investigations against myself as a vessel operator or part of a crew. It also protects against allegations of negligence or even perceived negligence which could be brought forth by clients, passengers, or other third parties while I run the course of my usual professional services. The policy is underwritten and backed by a carrier partner and claims administrator Berkley Offshore.
  14. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    1099? Then your a contractor or employee that needed a book keeping category for the owners accountant.
    Witch opens up a whole world of deductions for you.
    Still does not remove the boat owners responsibility of coverage, including assigned operator.

    If a claim does ever happen, your insurance company will go after the owners insurance.

    So, your an LLC. Do you have a real maritime attorney helping you?

    But, As I typed before; Do what make you feel best.
  15. Ryan Burnett

    Ryan Burnett New Member

    Joined:
    Mar 6, 2024
    Messages:
    5
    Location:
    Gloucester, MA
    Yes, exactly. I'm sure there's deductions, but I did only half a dozen trips last year. Now that I'm an LLC, does the owner hire me or the LLC? Should I take only check as a form of payment? And should I have a waiver/contract written up?

    I do not have a maritime lawyer but I am not running the business without a lawyer. The LLC was created in February 2024, so I'm still in the process of getting started.

    The owner and I still need to have a discussion about what the future has with me as the captain.
  16. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    Nobody here can answer these questions.
    IMO, based on your other comments, you are overdue to talk with an attorney.

    But, As I typed before; Do what make you feel best.
  17. Pascal

    Pascal Senior Member

    Joined:
    Feb 29, 2008
    Messages:
    8,118
    Location:
    Miami, FL
    If you have an LLC and wish to use it, contracts (if any) and payments should be made with/to the LLC

    afaik as I know cash is still legal (for now) so unless you re talking about regular large amounts (thousands and thousands) you can still get paid that way.

    as to insurance, you re covered by the insurance of the boats you run. Just make sure the owners have insurance.
  18. Capt Cole

    Capt Cole Member

    Joined:
    Jan 24, 2017
    Messages:
    120
    Location:
    Pittsburg CA
    Interesting and still unresolved topic. Like many here, I offer private lessons on a clients boat and do deliveries on the West Coast from Mexico to Canada. I had Captains Liability Insurance up until this year when the company quit offering this type of coverage. Seven years ago, I was paying $1000 per year with small increases annually until the final year of $1500. I have searched in vain for similar coverage. When providing lessons, I confirm clients vessel is insured and that the coverage extends to a Capt. operating the yacht. I also have the owner sign a liability waiver. As extra protection, everything runs through an LLC. I'm comfortable with this arrangement for lessons.

    The bigger concern is yacht deliveries. There is a higher risk of damage and personal injury. For now, deliveries have been limited to me operating as First Mate with another Captain who has liability insurance in place through his yacht business that covers all of his employees. I operate as a contract employee and am a 1099 worker paid from his LLC to my LLC.

    I often provide a Resume to vessel owners insurance companies so I do have the basic coverage. The problem is the deductible on the vessels insurance. Hasn't happened yet, but it is always in the back of my mind.

    This whole insurance thing has gone crazy over the past couple of years. Maybe it's because of big hurricane losses? I'm pretty much in line with CR position. Protecting myself the best I can.
  19. Capt Ralph

    Capt Ralph Senior Member

    Joined:
    Sep 8, 2004
    Messages:
    12,647
    Location:
    Satsuma, FL
    No, I said; do what make you feel best.
    Typing slower for the reading impaired;
    The owners boat policy covers the boat, all claims and approved operators.
    Any boat with out insurance don't step on.
    I also stated consult with a real maritime attorney when in doubt.

    But, As I typed before; Do what make you feel best.
    Last edited: Mar 25, 2024 at 9:58 PM
  20. Capt Cole

    Capt Cole Member

    Joined:
    Jan 24, 2017
    Messages:
    120
    Location:
    Pittsburg CA
    I simply said I agreed with your position. I don't get on a boat with no insurance or insurance that does not cover me as the operator. I do the best I can to protect myself. Not sure what fired you up. Didn't quote anything you said. Just basically agreed with your position.