Future of Superyachts Conference: Superyacht Insurance Today and Beyond

We're excited to share these insights with you and hope they will be useful for professionals across the industry. We encourage you to join the conversation in the comments and share your thoughts on the topics we cover.

Reporting from the 'Future of Superyachts' Conference by QUAYNOTE COMMUNICATIONS LIMITED .

The changing insurance landscape has been identified as one of the major challenges facing the Superyacht industry. With rising risks which have not been fully priced into policies, new technologies bringing automation and learning solutions to manage vessel safety and more complicated regulations now governing some aspects of coverage – all these factors mean marine insurance is undergoing a rapid shift when it comes to superyachts. In this blog post we'll dive into what was discussed at the conference by industry experts regarding how best to protect these valuable vessels going forward.

Superyacht insurance industry missing a central point of data regarding claims made.

The Superyacht insurance industry appears to be encountering a significant challenge – a lack of centralisation of data concerning claims made. With multiple insurance providers in operation and a plethora of yachts on the water, it seems that important data regarding claims is being spread thin, making it difficult for providers to get a clear picture of what is happening across the entire industry. This presents a clear need for a centralisation of data, enabling the industry to work more cohesively and effectively. By sharing data in this way, insurers would be better equipped to make more informed decisions, improve their risk management processes and offer better products to their clients.

Underwriters are becoming increasingly data driven. Difficulty for underwriters to centralise data to inform the risk analysis. Disclosure of this data is difficult, parties such as yacht management companies, yacht owners and shipyards are not forthcoming with this potentially sensitive data that insurers are seeking.

In the ever-evolving world of insurance underwriting, data is king. Underwriters are increasingly relying on data to inform their risk analysis, but there's a catch. Centralising this data is proving to be a challenge as the scale is often significant, and its availability can be limited. Adding to this complexity, some parties, including yacht management companies, owners, and shipyards, are often hesitant to disclose potentially sensitive data that insurers need to make informed decisions. As underwriters navigate these challenges, finding a way to centralise and access this data is essential for providing the best risk analysis possible.

Remote assessments could become popular and may present a way for the industry to move forward.

By enabling assessments to be conducted remotely, companies are able to improve overall safety. The elimination of travel requirements alone can save valuable time and costs. Furthermore, remote assessments provide the opportunity to tap into a wider range of expertise, the yacht management team, for example, when conducting safety checks. As the industry moves forward, it is clear that remote assessments could play a role in ensuring the safety and efficiency of Superyacht operations in the future.

Generally increasing premiums. Large underwriters with small but consistent increases, smaller underwriters having erratic pricing.

As the insurance industry continues to evolve, many policyholders have noticed a concerning trend in premiums. Specifically, rates have been steadily increasing across the board. However, what's interesting is the way in which these increases are being implemented. Underwriters have tended to raise rates in small but consistent increments. However some have been much more unpredictable, with erratic pricing being the norm. For policyholders, this can make it challenging to predict how much their premiums may increase from one year to the next. Nevertheless, the trend towards more expensive insurance doesn't appear to be slowing down anytime soon.

Crew insurance remains relationship driven for creating demand.

When it comes to crew insurance, it's all about the personal relationships that are established between the insurance provider and the clients. Having a strong connection and understanding of a client's needs and concerns is essential for creating demand for crew insurance. While technology has made it easier to research and compare policies, ultimately, it's the human touch that seals the deal. Clients want to feel heard, understood, and informed before they commit to a policy. This is where a skilled insurance provider can make all the difference by building and maintaining a personal relationship with their clients. Through regular communication and a focus on providing exceptional service, companies can establish trust and drive demand for crew insurance.

Final thoughts from the Insurance insights of the Future of Superyachts Conference.

The 'Future of Superyachts' Conference held recently shows just how much change the industry, and in particular Superyacht insurance, has occurred in recent years. Moreover, with new innovations to the database and claim systems, as well as remote assessments for underwriters, an exciting future for the industry looks on the horizon. Despite this meteoric growth gaps still remain in knowledge and understanding. For instance there is no central point of data regarding claims made which can be frustrating for both captains and insurance companies alike. Meanwhile premiums continue to rise in small but consistent increments. In contrast, crew insurance is still heavily focused on relationship building to drive demand. It is apparent that within the industry everyone needs to come together to ensure challenges are addressed together and solutions are reached collaboratively - that's why it's so important we all join the conversation! Let us use our collective voice to shape the industry going forward, let us ensure sustainability but also room for development pushing it into the bright future that awaits.

Join the Conversation - Share your Voice - Shape the Industry

Your thoughts and insights are valuable to the community, so we encourage you to engage with the content. Join the conversation in the comments below and share your perspective on the topics we cover. Ask questions, we're here to learn and grow with you. We thank Vincent Huens de Brouwer , MD at COVERSHIP for moderating the insurance panel at the conference and providing many of these insights.