Recently the temperature outside has been rising, the flowers are starting to bloom, and the skies are clearing of clouds and sunshine is shining down on us! I don't know about you, but I am ready for the summer, for the lake, and for boating! Every summer, I spend my weekends at the lake. I take my computer and my cell phone, and I work on the docks while the family plays in the lake. And it is around this time of year that insurance agents see an increase in the purchase of boat insurance.
Up until a few years ago, boat insurance was something that I always bundled together with home and auto. But that all changed a few years ago when Progressive unveiled a new coverage they called "Propulsion Plus." I have always thought highly of Progressive's boat, jet ski, ATV, and RV policies. They handle claims very well and are easy to work alongside. But so are all my other personal lines carriers. However, when Propulsion Plus was released, Progressive put themselves on a whole new level. Today I want to discuss the following three questions; What is Propulsion Plus, what requirements are necessary to sign up, and how much does this endorsement cost?
What is Progressive Propulsion Plus Coverage?
Propulsion Plus is an optional endorsement that is available to qualified boat owners. It is designed to repair or replace the lower units of outboard motors and the upper and lower units of an inboard; the outboard motor should the motor break down due to mechanical issues. In other words, it will cover wear and tear on the boat's engine!
Are There Any Requirements to Purchasing Propulsion Plus?
The age of the boat is the key to eligibility. You must buy the coverage before the vessel surpasses ten years of age. Progressive uses the age of the engine to determine coverage, not the year of purchase.
I had a client who bought a 2005 boat in 2006. He wanted to sign up for the propulsion plus option in 2016. Even though it was ten years from the date he purchased the boat, he was ineligible because the boat was 11 years old.
Coverage may be kept on the policy until the engine reaches 21 years old. Therefore, a new boat owner can get mechanical breakdown coverage on his boat for the next 21 years! After the ship reaches 21 years of age, the endorsement falls off the policy and is no longer valid.
How much does this Propulsion Plus cost?
The cost for Progressive's mechanical breakdown insurance is based on the number of horsepowers the boat contains and the age of the boat/engine. The endorsement starts at $38 per year for coverage and maxes out at $77 a year for coverage.
This cost is in addition to the rest of the insurance policy. However, $77 more to ensure an engine from wear and tear, is a fantastic option. One that I highly recommend my clients to add to the policy.
The Propulsion Plus endorsement makes it difficult for me to recommend clients go with a similar carrier who does not offer a similar product. The cost associated with the risk of mechanical failure at some point in 21 years, makes the decision very easy. Progressive listened to the clients and provided an exceptional policy for boat owners. If you are looking at purchasing a new boat, or just ready to enjoy your current boat at the lake this year, be sure to look into the Progressive Propulsion Plus endorsement.