[C320-list] GEICO

[Jack Brennan]

Hi Allan:

Geico gets bad reviews these days on the sailing forums, particularly for some type of depreciation on partial repairs, As I remember it, it depreciates parts until, after about 20 years, they have no value. That would be distressing if you lost your mast, which basically is as good as new after 20 years.

Geico in some cases also has been difficult to collect on. I dropped Geico/BoatUS after it rejected a claim. I was using a friend’s dock when Tropical Storm Eta hit in western Florida. After 10 hours of wave battering, my boat pulled out two pilings that cost about $2,500 to replace.

The boar remarkably emerged unscathed because the pilings acted as anchors. The logic of the Geico guy was that it didn’t have to cover the damage to someone else’s property because I had tied up the boat properly. I had to be negligent for them to cover the claim!

That led me to my Allstate agent, who already was covering my cars and townhouse. Great policy at about half the price. No claims yet, but I expect there will be no problems because I give Allstate a substantial amount of business.

Jack Brennan
Sonas, 1998 Catalina 320
Tierra Verde, Fl.




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From: Allan Field<mailto:allanfield47 at gmail.com>
Sent: Wednesday, August 17, 2022 6:01 PM
To: C320-List at catalina320.com<mailto:C320-List at catalina320.com>
Subject: [C320-list] GEICO

I have been with Boat/US insurance, now managed by the stars at GEICO,
since 1988 with never a claim.  My policy just came up for renewal with the
Agreed Value dropping by 10% from $125,000, as agreed to when this policy
was taken out in 2016, to $112,500 . My understanding of Agreed Value is
that this is an amount agreed upon between the insurer and the insured with
depreciation not taken into consideration. I called GEICO and was told that
underwriting was basing the new Agreed Value on what the boat would sell
for now. I asked to talk with underwriting but was denied. I then brought
up the fact that this change did not align with my understanding of the
definition of Agreed Value. I told the agent that I could not buy this boat
again for $112,500. So the agent went to her sources but could not find
anything in her books for a 2006 Catalina 387!!! But underwriting could???
The agent and I both went on-line and searched C387's for sale, found about
5 or 6, and all listed in excess of $135,000 with one close to $150,000. We
then "agreed" that the Agreed Value of my renewal policy would be $135,000,
the premium increase was about $67, and she sent me a revised Declaration
Page.

On a side note, I don't get GEICO's best premium rates because I pay cash
for my cars, I don't have any other insurance with them, and I don't have
any debt including revolving credit debt!!!

The take home message is that if you are with GEICO, read the policy
renewal declarations very carefully! I only focused on the math due to the
adverse notice regarding not getting their best rates, something I had
never noticed before.

Allan S. Field
Sea Shadow - C387, #103 (formerly C320, #808)
Columbia, MD