TOYS
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As I write this article, we are in the first week of April and I look out the window to see that Spring is making a valiant effort to arrive. Yet just last week there were reports of snow across the country; a blizzard in Newfoundland no less. The truth? Canadians go out and play in any climate.
Because Spring is coming, it is time to dust off the boats, the sports cars, the motor bikes, and the ATVs. And since this article is about insurance, it is also time to make certain the right coverage for our toys is in place. I suspect that the snow machines are also being prepped for summer storage so why not discuss appropriate“ risk management” for the toys while they are being parked as well?
It’ s not enough to simply toss the toys back into the toy box( read garage or shed here) at the end of the season or to just pull them out of storage and hop on them at the beginning of the season. Managing the risk of owning toys is serious business, because if it is not done properly, there is a possibility of equipment failure, property loss, and injury.
The number one way to ensure safe use of anything with a motor that moves fast is taking the right lessons and getting licensed. Perhaps an argument can be made that as the government tries to legislate and control everything in our lives, it takes away all the fun. But I became a believer in the need to be taught on how to use something a few years ago while at the cottage. My son, who was 15 at the time, begged me to take the wheel of a motorboat a friend had lent us. Being familiar with boats, I thought that it could not hurt as I stood right next to my son in the cockpit while we took a lazy motor down the Rideau. Despite my being there and being aware, I was not prepared when another boat passed us at high speed throwing a considerable wake. In an instant, my son turned into the wake to take it at a right angle. My wife and daughter, who were sitting on the foredeck, were launched into the air and then landed hard on their backsides.
My son was not trained in the use of this boat. I realized how negligent I had been in assuming he would be able to recognize a risk and that I would be able to anticipate any error in judgment he might make. Incidents like this always happen quickly, and though there were no injuries that time, there were very tender tailbones and a hard lesson learned. The hardest truth here is that this sort of“ accident” was totally avoidable. Taking the right courses to learn how to use a motorbike, boat, ATV, or snow machine and then getting the right licence, if applicable, is an absolute must. Parents cannot just let the kids take out the sled or the Jet Ski until they are old enough and trained to properly handle them. It sounds like common sense, but then again, good sense is often not that common.
Practice makes perfect: Every biker I know will attest that all the experience we get on a bike is great, but the real threat ends up being the motorist who does not see the biker in the blind spot, is not paying attention, is changing lanes, or is coming out of a side street into the bike’ s path. The ability to ride means nothing unless it comes with a healthy respect and awareness for the potential risk of everyone else on the road. This truth applies to anything that is motorized and moves quickly.
Since toys tend to be seasonal, there are months between their use. So it is important when getting back into the sport that had been hibernating for the past six months to take it easy and practice at the beginning of the season, get used to the machine before pushing too hard, keep your eyes open, and never take for granted that the other guy is paying attention or is aware of you.
When Gifford Associates brokers sit down with new and sometimes long-term clients, one thing is certain: many people make assumptions about the coverage they think they have already. Boats can be covered under a homeowners policy, but only up to a certain length and horsepower. Sports cars, ATVs, motorbikes, and since it was snowing just last week, snow machines, all have road-going exposure, and therefore road-going insurance requirements. All of this equipment poses a potential to cause others harm; therefore, you need appropriate liability coverage and limits. Ask your broker if you have the appropriate coverage for any of the toys you already own.
Also, get the right policy in place when you buy something new. What is worth noting here is that the premium charged to insure a boat, bike, or sled will often be based on a full year’ s coverage but rated on its seasonal use. So when you buy insurance for any of these toys, you will not necessarily get a return premium if you cancel midway through the policy or at the end of the season. Since the underwriter already knows you won’ t be riding the“ hog” in November or sailing the Boston Whaler in December, the premium you pay will be fully earned.
And when you park the’ Vette at the end of the summer and ask your broker to remove“ road coverage,” be aware that you have also taken off Collision as well as Third Party Liability and Accident Benefits. That endorsement may result in a return premium, but it also means that if that vehicle is stolen and you have
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