Why is insurance for the Canaries so expensive?

[Thresher]

A few years ago I switched to Pantaenius insurance for my Leisure 27, £200ish for 3rd party only Brest to the Elbe, happy with that. A couple of years a ago I asked them to extend it to cover the Mediterranean which they did at no extra charge! Brilliant.
I've just enquired about cover for Morocco and the Canaries. Morroco no problem, 6 weeks no charge, just let them know when I'm going. The Canaries? £450.
Does anyone know why the Canaries are so expensive?

 

[davethedog]

We paid double for cover in the Canaries (and Madeira and Azores (CANMADAZO as they call it)) with the same insurance company.

 

[Buck Turgidson]

£450 third party?
That does seem high, I pay 100euros third party and 300 for total loss in the Med with Pants

 

[capnsensible]

Beer is cheap though.

 

[ducked]

Perhaps due to their use in mines, to detect firedamp, which insurers would probably consider hazardous duty.

Perhaps, since mining is now less fashionable, you could negotiate a reduction in premium with a suitable exclusion clause

 

[dunedin]

Beer is cheap though.

Is that why the insurance is more expensive ?

 

[davidej]

Could it be that to go to the Canaries you have to cross some real ocean while the other areas you mention are really only costal hopping .

 

[Frogmogman]

Insurer is clearly an Ipswich Town fan, so has a deep seated hatred of canaries.

 

[Thresher]

Could it be that to go to the Canaries you have to cross some real ocean while the other areas you mention are really only costal hopping .

I wonder. It could be. I thought being 3rd party I couldn't possibly incur costs on the high seas, much more likely to happen if I'm in a marina. But if I need to be rescued hundreds of miles out? Hmm! Time to read the small print on the policy.

 

[papaver19]

Canaries is also pretty bloody windy. As soon as you stick your bow out of a number of marinas, you are straight into Atlantic swell and often 30+kts of acceleration zone. Mildly terrifying in a 27-footer, IMHO. Your insurers might be trying to tell you something ...

 

[ylop]

I wonder. It could be. I thought being 3rd party I couldn't possibly incur costs on the high seas, much more likely to happen if I'm in a marina. But if I need to be rescued hundreds of miles out? Hmm! Time to read the small print on the policy.

Whilst you can get rescue cover most 3rd party policies are not, and as you say vessel density in the ocean is less than close to land. It could perhaps be any wreck recovery element but again I expect those liabilities are higher close to shore.

Canaries is also pretty bloody windy. As soon as you stick your bow out of a number of marinas, you are straight into Atlantic swell and often 30+kts of acceleration zone. Mildly terrifying in a 27-footer, IMHO. Your insurers might be trying to tell you something ...

But he’s 3rd party only.

It might be that it’s just the cost of fixing stuff in the middle of the Atlantic is more than where yards are abundant and materials can often be delivered in a few days? More likely it’s just an algorithm which has no actual appreciation of risk.

 

[papaver19]

Canaries marinas are also places where a lot of 3rd party claims can occur - several of them are noted for being pretty knarly in certain wind/swell directions - I have observed boats leaving unexpectedly, still attached to pontoons during swell events - so that might be a part of it.

Those algorithms generally know exactly what they are doing.

Boatyard costs are pretty standard there, btw