Denis Marier wrote:
Thanks for your reply. I have no doubt that a survey is a good thing. The
fine print in the contract, as in real estate, stipulates that the surveyor
is only responsible for what he/she has access and can see. The insurance
brokers like the evaluation produced by the surveyor so they can ask to have
your boat insure accordingly. When time comes to replace your boat they will
only pay what the real market value is. A good example of this is one of my
friend was involved in a big storm and his boat sunk on the eastern coast.
His 1970 Grampion 30 was insured for $45000. What he got from his insurance
company is half of that amount. When a survey report state that the
replacement value of a boat is XXXX it means that if you had to buy that
boat new at today present value the cost would be XXXX. What the insurance
will cover is the replacement value at today street going price for a boat
of that age. Recently someone had to rebuild part of his deck under the
mast. The survey report did not mention anything of that nature. Who will
pay for the repair?
The recent storm damages in the US will for sure set some jurisprudence on
replacement value of boats.

There are 2 types of boat insurance (broadly generalizing)
in how they deal with total losses:

"Actual Cash Value" types where you get what the insurance
company thinks the boat is worth just like a car. Generally
this is the type for smaller boats 25' or the kind your
homeowner's agent will sell to you.

"Agreed Replacement" where you pay a higher premium but get
a guaranteed amount if the boat is a total loss.

Getting 22,500 for a 1970 Grampian sounds about right
unfortunately.

Evan Gatehouse