Marine Rigging Insurance In Florida

Marine rigging is a highly specialized trade that involves working with masts, standing and running rigging, and various sailing hardware on boats and yachts. In Florida, with its dense concentration of recreational and commercial vessels, a marine rigging business faces significant and specific risks that are not covered by standard commercial insurance.

To protect your business and comply with the requirements of marinas, boatyards, and clients, you need a comprehensive insurance program that addresses these unique risks.

1. Marine General Liability (MGL)

This is the most critical piece of your insurance puzzle. A standard Commercial General Liability (CGL) policy will almost certainly have a «watercraft exclusion,» meaning it will not cover incidents that occur on or around the water. An MGL policy is specifically designed for marine businesses and should include:

• Care, Custody, and Control (CCC): This is non-negotiable for a rigger. It covers damage to a customer’s vessel or property while it’s in your care. If you’re working on a mast and it falls, damaging the deck or the boat’s hull, CCC is what would pay for the repairs. Without this, you would be personally responsible for what could be a multi-million dollar claim.
• Products and Completed Operations: This protects you from claims that arise after you have finished your work. For example, if a rigging wire you installed fails months later and causes the mast to fall, this coverage would handle the resulting damage and lawsuits.
• Riggers’ Liability: This is a specialized form of coverage that protects you from damage to a customer’s property that you are lifting or moving. It is a vital component of a comprehensive marine general liability policy and is essential for anyone who lifts and installs masts or other heavy equipment.
• Hired and Non-Owned Auto Liability: This covers your liability for accidents involving rented vehicles or employees’ personal vehicles used for business purposes.

2. Workers’ Compensation and Maritime Employers Liability (MEL)

If you have employees, state workers’ compensation is mandatory. However, the unique nature of marine work means you’ll need additional, specialized coverage:

• Florida Workers’ Compensation: This policy covers employees for injuries that occur on land, such as an injury sustained at your shop or in a company vehicle.

3. Commercial Hull & Protection and Indemnity (P&I)

If your business owns or operates any vessels (even a small workboat or launch) to get to job sites, you need to insure them.

• Commercial Hull Insurance: This policy covers physical damage to your own vessels.
• Protection and Indemnity (P&I): This is the marine equivalent of auto liability. It covers your legal liability for things like bodily injury to crew or passengers, damage to other vessels or property (like a dock), and pollution.

4. Other Important Coverages

• Inland Marine Insurance: Despite the name, this is a property policy. It covers your valuable tools, equipment, and materials while they are in transit, at a job site, or stored in a location other than your primary shop.
• Commercial Auto Insurance: This is essential for any vehicles your business uses to transport equipment and employees.

Finding the Right Insurance

Due to the complex blend of state and federal maritime laws and the specialized nature of the work, it is highly recommended that you work with an independent insurance agent or brokerage that specializes in the marine trades in Florida. They can help you:

• Identify all your exposures and recommend the correct policies.
• Ensure compliance with all legal requirements, which is a necessity for working in boatyards and marinas.
• Bundle the necessary coverages to create a comprehensive and cost-effective insurance program.