Sail - July 2018

SAIL MAGAZINE

ing oten results in better deals as there will be

more selection in general for buyers.

Insurance companies will write a boat of as

a “Total Constructive Loss,” or TCL, for several

reasons, and understanding these will help in

selecting the right boat. Generally, the boat is

considered a TCL if the estimate for repairs is

around 75 to 80 percent of the insured value

of the vessel. Insurance companies also know

estimates rarely, if ever, run under but oten run

over, so they make an extra efort to cut their

losses before starting repairs.

With larger storms, such as Irma, they may

be forced to liquidate boats they would have

otherwise had repaired as well. For example,

if a boat cannot be repaired within a reason-

able time period the insurance companies

may total it so that the insured will not have

to wait an entire season without a boat. Ater

a large storm not only are repair yards fully

booked, but the repair facilities may also be

damaged, making getting repairs done diicult

or impossible. Oten these lightly damaged

boats make a good investment depending on

pre-loss condition.

Before looking for a hurricane boat to restore

you must also decide if this type of project is

right for you. Ask yourself if you have what it

takes to make the needed repairs. Hurricane-

damaged boats oten require many skills and

resources to rehab. herefore, if you are plan-

ning on hiring others to do much of the work,

I strongly suggest you reconsider getting one of

these boats. Skilled labor is expensive. he fact

that the insurance companies are liquidating the

boats means they have already determined it was

not practical to hire a yard to make the boat us-

able again. Ultimately, storm-damaged boats are

only inancially practical if you can provide the

necessary sweat equity to save labor costs.

It also has to be considered where you will

be able to work on a damaged boat if you

get one. Do-it-yourself boatyards are getting

increasingly rare. he boat will likely also need

to be moved, either to where you live or, at a

minimum, to a yard other than where it already

is, further adding to expenses. Unless the boat

is a small trailable one, there will be a lot to

consider when it comes to working locations.

Of course, if you go and work on the boat in its

current location, you will be ahead of the game.

But as most repairs can take weeks and or even

months to complete, most of us have to move

the boat to where we live and work.

If ater taking into consideration all these

factors, you still feel you have what it takes to

handle a project of this type, it is time to think

about selecting the right boat. With that in mind,

I suggest you start by looking at boats as if you

were shopping for a normal used one. You will,

for example, still want to ind a boat that was well

maintained and that has the equipment and gear

you want and need. For the time being, ignore

the damage and evaluate the boat in its pre-loss

condition. Check things like engine hours and

the condition of the sails and rig. If the boat was

poorly maintained and/or had a lot old worn-out

equipment before it was damaged, keep looking.

Also take some time to ind the normal resale

value for any of the boats you are looking at, as

this will help you later decide how to bid.

In terms of where to ind the best storm-

damaged boats. here are several sources and

like most things, some are better than others.

For example, I would leave contacting the

insurance companies directly as a last resort.

Ater any storm, insurance companies are

inundated with calls and have little time to deal

with bargain hunters because they are busy

dealing with their client’s claims. A much better

place to look would be with those companies

that specialize in liquidating these boats and

which can be easily found online. In fact, these

will be your best source, as these are the people

charged with selling the boats once their claim

is satisied. You could also contact towing and

salvage companies in the afected areas as well

as local marine surveyors. Another option

might be contacting a local insurance broker

A sunken boat will

inevitably bring with it a

whole host of problems

Good boats to be had for a

song? Maybe, but be sure to

look before you leap