Should I Insure My Fishing Gear?
Posted on Wednesday, May 31, 2017
It’s 6 a.m.
You stand at the edge of an old wooden dock to take in the beautiful Ontario scenery. The sun is rising and the fog is slowly lifting. The wind is absent and the water is glass. You see a fish surface in the distance, disturbing the reflection of the cedar trees – nice, they’re hitting topwater!
You get the boat launched, turn the key and rip over to your favourite spot to wet some lines. You shut the engine off and gently coast inward to a submerged log. This is the perfect place to try out that new baitcasting outfit you picked up last week.
You left the rods and your tackle box at the launch! Big mistake.
That sinking feeling hits as you hammer the throttle and fly back to the boat launch. Hopefully your gear is still there!
You arrive back, only to find a couple of seagulls fighting over your abandoned foam worm container. Your fishing gear has been taken.
It’s moments like these that anglers need to consider the value of their fishing gear and the potential impact of a loss.
Sure, a fishing lure costs around $10 to replace. No big deal. But for those anglers who have 10 different colour patterns of a lure, 50 different styles of baits and 9 rods on their boat at any given time, there can be a lot of money tied up in your passion. Imagine having to write down every single lure that you own in your tackle box after a loss… could you do it?
Here are some insurance considerations surrounding your fishing gear that will put your mind at ease, so you can get back to what is important: landing lunkers and beating personal bests.
WHAT IS ALREADY COVERED ON YOUR AFM HOMEOWNERS, TENANTS or CONDO POLICY?*
Your fishing equipment is considered part of your Personal Property coverage on your Homeowners, Tenants or Condo policy. This means you have worldwide coverage for your gear at home, or if temporarily away from your home (for example, while on the lake). In the event that your gear is damaged by an insured loss and you provide a receipt confirming replacement of your gear, it will be settled at its “replacement cost.”
Replacement Cost – The cost to repair or replace your damaged item with a new article of like kind and quality, without applying any depreciation to the item.
That being said, your fishing equipment is subject to your Personal Property deductible. Typically, Personal Property coverage deductibles can range from $500, $1,000 and up!
The bottom line is that you have coverage for your fishing gear, less your Personal Property deductible. This may suffice for some anglers, but if you have a high Personal Property deductible and experience a smaller loss to your gear, there may be no advantage in claiming it. We will illustrate this in two scenarios:
Your tackle box and two fishing rods & reels are stolen from your boat while docked. The value of the stolen gear was $550. Your Personal Property deductible on your AFM Home Plus policy is $500.
In this scenario, the loss is $550 less your Personal Property deductible of $500. The maximum payout you would receive is $50. Considering the impact of losing your Claims Free discount on renewal, there is no advantage to claiming the stolen gear in this case.
Your entire collection of fishing gear and equipment is destroyed in a fire at your residence. The value of all your gear & equipment was $7,000. Your Personal Property deductible on your AFM Home Plus policy is $500.
In this scenario, the loss is $7,000 less your Personal Property deductible of $500. The maximum payout you would receive for your destroyed gear is $6,500
WHAT ARE THE ADVANTAGES TO ADDING MY FISHING GEAR TO MY POLICY?
You have the option to add (also known as “Scheduling”) your fishing equipment on a Personal Articles Floater, which attaches to your Home Insurance policy.
Here are three advantages to scheduling your fishing equipment on a Personal Articles Floater:
1. Lower Deductible
By choosing to schedule your fishing gear on a Personal Articles Floater, you may choose a lower deductible. Ayr Farmers Mutual offers deductibles as low as $50 for a Personal Articles Floater. Consider Scenario 1 again – a $550 loss with a $50 Personal Articles Floater deductible now results in a $350 payout for an insured claim.
2. Keep your Claims Free discount
Any claim filed for your Personal Property on your Home Insurance policy may affect your eligibility for the Claims Free discount on your renewal. When you add your fishing gear to a Personal Articles Floater, the claim for your fishing gear only impacts discounts for the Floater - your Claims Free discount on your home insurance policy would be unchanged on renewal.
3. All-Risk Coverage
Your insurance policy may have Broad or Standard coverage for your fishing gear and Personal Property, which is less coverage provided than All-Risk coverage. By scheduling your fishing gear, you can take advantage of the All-Risk coverage. Again, in the event that your gear is damaged by an insured loss and you provide a receipt confirming replacement of your gear, it will be settled at its “replacement cost”, up to the limit of insurance purchased on the Personal Articles Floater.
Image Source: Pexels.com
WHAT ELSE YOU NEED TO KNOW:
Generally more expensive pieces of equipment require more details to be provided to your insurance company. If you have a single piece of equipment that is valued over $1000 (like a very nice float reel), you would need a bill of sale or receipt to substantiate its value. This helps us to replace your gear to what it was worth in the event of a loss.
Also, it is a really good idea to take inventory of your equipment and gear, along with the rest of your personal property. Consider keeping a digital inventory of your personal property. In the event of a loss, you can produce a digital inventory of your personal property that can be easily accessed anywhere by you.
Feel free to start your digital inventory at www.MyHomeWorks.ca/mhw/ayr. It’s a free service, where you can access your personal property inventory anytime, anywhere!
*Disclaimer: Each person’s requirements surrounding coverage for their fishing equipment should be discussed with a Licensed Insurance Agent or Broker, in order to obtain a full understanding of the product(s) coverage being provided along with possible limitations or exclusions of that coverage. Contact your agent or broker today