How do I get insured for the Red Sea and Indian Ocean?

lyralicious

lyralicious

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Joined
11 May 2005
Messages
146
Location
Thailand. Recovering from what felt like the longe
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Jamie and I are ready for our passage through the Red Sea and onto India next winter. We're ready, but the insurance companies are not...

Our current insurers (Nav&Gen, through CraftInsure) won't touch the journey and neither will our previous insurers, Haven Knox-Johnston (which was one reason for the switch).

GJW is an unequivocal "NO". Admiralty another resounding "No". Pantaenius have been more helpful, but require us to make a fast transit (six weeks max) with a £10,000 excess for some coastal areas. We could do this, but we don't want to. We want to see something of the area and spend some time diving the reefs. (This fast transit requirement, incidentally, includes Egypt.)

I have gone back to them saying that we are prepared to join the Vasco da Gama rally in the hope that this might evince a more positive response. GJW, Nav&Gen, Admiralty still 'NO'. Pantaenius are coming back with a revised quote today (it can't be any worse). I'm still waiting on another couple of brokers...

Looks like we may be off to the Caribbean instead then. "NO, we do not cover the Caribbean," from GJW.

Give me strength.

Cheers
 
The Vasco da Gama rally sounds like a good idea to me. Much safer to travel in company. Also do you really want to spend the summer in the Red Sea, the temperatures will be unbearable.
 
When I came up through the Red Sea from Thailand in 1998 my excess from Pantaenius was £5000. In the Pacific it was £2000. It does concentrate the mind & I'd rather have that than an inflated premium or no cover at all. 10 years on £10k is probably the equivalent.

The 6 week transit time for the Red Sea is new however & was requested on a friend of mine who is currently heading up north towards the Med. They had been insured by Pants for the last 10 years I think so you're not being dealt unfairly with as a new unknown "cover". They're slow movers so I don't know how they are dealing with the time restriction. We took nearly 2 months at a moderate pace.

I'd recommend Pantaenius having had 2 claims through them (both not my fault!!) - both were dealt with efficiently & without undue hassle. I know there will be others with opposite views (there always are) but it's just my 2p.
 
Just a thought that might help.

Have you tried restricting the area? For example just confining cover to Northern Red Sea, north of an agreed boundary which is regarded as safer. You can then take your time, go diving etc.

Later when you want to make the transit and go further south, redefine your area, you will probably have to face the restrictions you describe.

Then later on insure for the Indian Ocean excluding the Red Sea and associated trouble spots once you have made the transit and cleared the area.

This "approach" of only insuring where you are rather than where you intend to be over an extended period of time is something I picked up from earlier posts on this forum as a money saver, as it narrows the risk for the insurer, and reduces the premiums. I have no knowledge if it will work for you in the Red Sea.
 
Have you tried expanding your search of insurnace companies? You are dealing with the mainstream companies and like most business they are after certain market in other words certain types of risk. Red sea might not be it? (try WG Yachts and Fastnet, both UK based as possibles)

Another thought, have you asked Oyster if they have any good contacts? I still call the builder of our boat for advise/assistance, they are always happy to help even though ours is 30 years old!

Have fun and enjoy the diving.
 
Hi, thanks for that, maxy, but the announcement was posted on noonsite back in January and states:

"This effectively means yacht insurance policies will not include war and related perils in this area. It does not mean that cover is unavailable for yachts in the Red Sea, the restrictions relate to War and Associated Risks. Yachts policies continue to cover the normal range of marine perils such as groundings, collisions, rig failures etc."

I will try some of the suggestions above, which seem like good ideas.

Cheers

Any other bright ideas gratefully accepted...
 
Quite so Queenie. The point is, it is still a war zone which it wasnt last year and insurance was difficult to obtain then also.

Surely the major risk is piracy? The Red Sea is no more difficult to navigate than anywhere else once you've become accustomed to coral reefs, so the risk of damage not appreciably greater. My insurance company advised that the increased premiums in these areas was in part having access to adequate repair facillities. I am sure you are aware of the Oyster who lost his mast in the Red Sea and had to come to Yat Marin for repairs.

I had no problem getting cover to cruise down to 25 degrees North as was suggested by an earlier respondent. However to traverse the 'hot spot' in 2005 was a £10000 excess, which means in practice that the greatest risk was and is piracy and effectively you are self insuring.

If you cant get affordable or worthwhile insurance, how about road transport? There is lots of boating in Dubai which is not that far for a truck? It would be a shame to not be able to traveleast unless you were prepared to risk being uninsured.
 
Hi you 2
Just called richard from
Richard Gould
WG Yachts, PO Box 3000, Coulsdon. CR5 3ZP
Tel: +44 1737 552885
Fax + 44 1737 556877
Mob + 44 7799 885236
email: richard@wgyachts.com
And he told me that there is not a problem with insurance. the cost is 2 % ontop for blue water cruising of the value of the boat so long as your boat is no bigger or older than mine and you have experiance.

There are some areas that are restricted but then you knew that

He said he would be more than please to help you.
 
Pantaenius have explained that it is not about the piracy or war zone (for which you are not covered, anyway). It is all to do with accessibility.

They have now come back with a better offer, but still high. The excess is £6k whilst in the Red Sea and £3k when in the Indian Ocean...

Still awaiting other quotes (hopefully) /forums/images/graemlins/frown.gif
 
Hi Queenie, nice to hear from you again. I think you should continue to work with Pants; they are clearly the best and they are very flexible. I have worked the same issue with them, but probably through a different Pants office (Scandinavia) than you. That notwithstanding, you should get a solution with them if you continue to talk.

The solution they proposed to me was a 10% increase in the yearly casco rate and no change in the excess while I was in an area south/east of the exit of the Suez canal until I reached Phuket, Thailand. I thought this was very reasonable. (well they defined some no-go areas as well, but those were really no-brainers.) It put the choice back to my control; linger longer and pay more or cross quick and save money. Well, even if I stayed another 6 months on this route; it would only mean another 5% on my insurance so that is very reasonable. Then the casco rate goes back down to the Med rate while you are between the north border of Thailand until the east border of Singapore. I can do that for a long time.

My conclusion is not new; if you are a world cruiser, only Pants will understand you and give you a good quote. I have been a Pants 'no-claim' customer for more than 15 years and that might possibly get me better quotes, but they should still give you better ones than anyone else will ever do.
 
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only Pants will understand you and give you a good quote.

[/ QUOTE ]
Providing of course that your boat is worth more than XXXX£'s. If it isn't, then they don't want to know - they are only interested in policies for the 'more expensive' yacht and in my case it was a definite NO.
 
Just a little bit of information regarding GH insurance and Admiral boat insurance, GH had no problems in arranging a quote but Admiral were far from helpfull. The wanted an out of water survey and were not prepared to insure a classic moody because of its age and also the cruising area. they might have considered local waters. I just hate these companies that just put walls up and are only interested in easy pickings
 
Hi LJ. Well, Pantaenius have offered us cover at a better rate than previously mentioned on my original post, but that is dependent upon joining the VdG rally. I am not entirely convinced that they are the only ones who understand world cruising. Several other companies have come back to me and are putting together quotes right now.

For those interested I will come back next week with more information on what was offered from each source.
 
Hi again Queenie. Please do not see this as 'teaching Grandma to suck eggs...' but look very carefully at the small print on any offer you are getting. Pants have a very well earned good reputation for being very reasonable and quick with handling claims. Some others might not be. Saving some pounds off an insurance policy that will eventually not pay your claim is false economics. Sorry to be a danger merchant here, but there are many sad stories out there of refused insurance claims.
 
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Pantaenius have explained that it is not about the piracy or war zone (for which you are not covered, anyway). It is all to do with accessibility.

[/ QUOTE ]

Duh? Thats what I said

I have just had a response to an email I sent to some friends who have just completed their west about circumnavigation. They had no trouble getting insurance without conditions such as you are experiencing. The boat came up the Red Sea just a few months ago.

The company was recommended to them by Hallberg Rassy (they have a new 40) and they have schemes for different mfrs. HR, Oyster etc.

Contact details are:-

The broker is Allain de Lassee, Assurances Maritimes
The policy is "Prestige Hallberg Rassy"
underwrittewn by groupama Transport
email contact@assurances-delassee.com

Let's know how you get on.
 
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