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You hit another yacht on a charter: who pays?
Short answer
Damage to the other boat is usually a matter for the charter yacht's liability insurance, damage to the charter yacht for its hull cover. How much stays with you depends on the charter agreement and the deposit, and anything beyond the yacht's cover falls on you personally.
A packed harbour, berthing stern to, a crosswind and a crew who met the boat three days ago: on a charter it is easier to hit the neighbour than with a boat you know. That usually leaves two lots of damage. The damage to the other yacht is a liability claim, the damage to your charter yacht a hull claim. The charter company arranged both policies, and both were written first of all to protect the company and its boat, not you as skipper.
The owner of the other yacht will come to you and to the base. The charter yacht's liability insurer looks at the claim and pays what is owed. How much of it stays with you is set out in the charter agreement; an excess is often taken from the deposit, together with the cost of repairing the charter yacht. It gets awkward in three situations. The claim is larger than the yacht's limit of indemnity. The insurer seeks recovery from you for gross negligence, for example after drinking at the helm. Or the damage falls under a clause the charter company's policy does not cover. In each case you are personally liable, with your own money.
On the pontoon, admit nothing and pay nothing in cash, however hard the other side pushes. Fill in an accident report with the other skipper, photograph both boats and the lines, take the names of witnesses and tell the harbour master. Call the base straight away, since they will notify their insurer. Let your deposit insurer and your skipper liability insurer know as well. A policy you hold yourself is the only cover in this story written for you, which is why British and Irish skippers are often advised to arrange it before booking.
Worth remembering
The other boat
goes to the charter yacht's liability insurer
Your share
is set by the charter agreement and the deposit
Admit nothing and pay nothing on the pontoon. Report, photographs, a call to the base, then let the insurers sort it out.
Questions
What owners ask us about this
Do I have to give the other owner my details?
Yes: name, address, the name of the charter yacht and the base. Giving them is not an admission of fault. Who is liable is for the charter yacht's liability insurer to decide.
Should I pay for the damage there and then?
No. A payment on the pontoon can be read as an admission and will not help you later with the base or with any insurer. Refer the owner to the yacht's insurance and report it at once.
When does my skipper liability insurance come in?
When the claim goes beyond the charter yacht's cover, or when that yacht's insurer seeks recovery from you for gross negligence. Notify it as a precaution straight away.
Related
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