What insurance does a marina or yacht-service business in Sint Maarten need?

Key facts

Which policies do marinas and yacht-service businesses in Sint Maarten usually look at?

They usually look at several, because a marina or boatyard sits between several kinds of risk. The business owns buildings, docks, lifts and tools. It looks after customers’ boats, which are often worth a great deal. Its staff work on and around the water. And it faces the hurricane season every year. Each is dealt with by a different policy, and none covers everything. Terms differ between insurers, so these are points to discuss.

• Damage and injury to others: general liability insurance is designed to respond to certain claims of injury or property damage to a third party. Ask how vessels and property in your care are treated, because they are often limited or excluded.
• Buildings, docks and equipment: property insurance can address fire, storms and theft for buildings, workshops, tools and stock. Ask whether docks, pontoons, lifts and outdoor equipment are included.
• Staff: workers’ compensation insurance relates to employee injury or illness connected to work, and dock and yard work involves particular hazards.
• Vessels: marine insurance explains how boats and yachts are insured, including named-storm conditions, mooring and haul-out requirements. Customers’ own policies matter here too.
• Service vehicles: commercial auto insurance applies where trucks, vans and trailers are used for the business.
• Advice and workmanship: professional liability insurance relates to claims that advice or work was negligent, which may be relevant to surveyors, riggers and other service providers.

Who is responsible for a customer’s boat in the marina’s care?

It depends on the wording of both the owner’s marine policy and the marina’s liability policy, and on the contract between them. A standard liability policy often limits or excludes property in the insured’s care, custody or control, so a marina cannot assume it is covered. Ask your insurer how it treats customers’ vessels, and ask customers to confirm their own cover and any storm conditions in writing.

What will an insurer ask a marina or boatyard?

• The services provided, for example berthing, storage ashore, repairs, refits, fuel sales or charters.
• The number and type of vessels in the marina or yard, and their typical value.
• How vessels are stored and secured during a storm, and the haul-out plan.
• Whether hot work, painting, spraying or fuel handling takes place.
• The number of staff, their roles and any subcontractors.
• The value of buildings, docks, equipment and stock.
• Any previous claims or losses.

What should a marina check before hurricane season?

Check the hurricane plan against the policy conditions, because insurers may ask about the plan and set conditions around it. The Atlantic hurricane season runs from 1 June to 30 November. A short checklist:

• The written hurricane plan says which vessels are hauled out, how they are secured and who is responsible.
• Customers have been told the plan and asked to confirm their own policy conditions.
• You know the named-storm deductible and any conditions on your own policies.
• Docks, pontoons, lifts and outdoor equipment are listed, or you know they are excluded.
• Fuel and chemical storage is as described to the insurer.
• Staff know their roles and the order in which things are done.
• You have photographs of the property and an equipment list.

The hurricane insurance page explains wind, flood and storm surge, and the risk management page looks at reducing risks as well as insuring them.

Is marina cover different on the French side of the island?

It can be. Customers of marine businesses often sail between islands and between the two sides, and insurers, rules and supervision differ between Sint Maarten and Saint-Martin and between neighbouring islands such as Anguilla, St. Barths, Saba and Sint Eustatius. Where the business and the vessels are located matters when cover is arranged. The guide on insurance on the Dutch and French sides explains what Enterprise Insurance can and cannot arrange.