Whether buying or selling a second-hand boat, or simply maintaining its value, there are plenty of compelling reasons to look after your boat properly. Key equipment and components on board must be regularly serviced or replaced. When, for example, should a Saildrive seal be replaced if it shows no signs of external damage? When does the standing rigging need replacing, even if the shrouds and stays show no signs of wear yet? What maintenance guidelines apply to winches or the engine’s Bowden cable? The law does not provide any guidelines on these matters.
Consequently, the owner is responsible for the maintenance intervals. Experience shows that shrouds and the forestay should be replaced approximately every ten years, or at the very latest after 15 years, depending on the sailing area and the actual use of the vessel. This is because, according to expert findings, fatigue fractures can occur within the internal structure of the rigging material after this period, which are not visible from the outside. The failure of a shroud can easily result in a broken mast, posing a serious risk to the crew. A prudent owner should therefore prioritise safety on board above all else and, when in doubt, opt for replacement.
Machine
There are detailed manufacturer’s specifications regarding maintenance intervals for the engine and gearbox. These are based on 250 operating hours per year. The work carried out should be recorded.
Rigging
The sails are the yacht’s main source of propulsion, and the greatest forces are exerted on the rig. For this reason, all parts should be serviced with particular care.
Propeller, keel and hull
Out of sight, out of mind: the keel, oars and propeller can only be easily checked and serviced whilst in winter storage. This makes the annual inspection all the more important.
Navigation, equipment, sanitary facilities
Fresh water, filters, lighting: these systems can be quite complex, and checking or repairing them takes time. The reward for sticking to the maintenance schedule is comfort whilst sailing and at anchor.
Winches, Hatches & Railings
Winches, hatches and railings do not require as much attention. Nevertheless, they should not be overlooked.
Safety
For some safety-critical pieces of equipment, there are clear recommendations regarding maintenance intervals. For some, it is even advisable to check them before each use.
Servicing intervals: What does the insurance company say?
There is no clear-cut answer regarding the obligations of comprehensive motor insurance in the event of damage attributable to ageing materials or equipment that was already damaged, or to a failure to adhere to maintenance intervals. This is because the comprehensive motor insurance provider’s obligation to pay out depends on the specific terms and conditions of the policy.
It is encouraging in this context that the market leaders in the comprehensive motor insurance sector provide owners with adequate cover by including the following clause regarding damage caused by ageing and wear and tear: ‘Damage caused by design, manufacturing, workmanship or material defects, wear and tear arising from normal use, corrosion, rust and electrolysis is excluded from cover. However, this exclusion applies only to the parts themselves affected by the fault or wear and tear; loss or damage arising as a consequence of the fault or wear and tear to other parts of the insured property is covered to the extent set out in these terms and conditions.”
The inclusion of such a provision in the yacht comprehensive insurance terms is very much to the policyholder’s advantage. This is because so-called ‘age-related damage’ regularly arises as a result of wear and tear during normal use over many years. Consequently, if a worn-out shroud breaks and the mast consequently falls from the top, the hull insurer would, under the provision cited, not replace the shroud itself, but would cover all consequential damage, such as the broken mast as well as further damage to the rigging and, where applicable, to the hull of the vessel.
Take a close look at the clauses
In legal practice, therefore, the majority of cases that arise as problems involve situations where yacht comprehensive insurers have drawn up terms and conditions under which so-called gradual damage is largely excluded from cover. It is therefore advisable to take a look at the terms and conditions of the comprehensive insurance policy. This is also because some hull insurers do not insure the rigging at all once it reaches the age of 30 years, unless the owner can prove that maintenance intervals have been adhered to and that replacements have been carried out.
Any refits or refurbishments to the vessel should be disclosed to the insurer at the time the insurance policy is taken out. Bowden cables (throttle, gearbox), on the other hand, are regarded as maintenance-free. They rarely snap, but they do frequently come loose from their mountings due to the shear failure of age-worn retaining pins, with the result that the helmsman can no longer control the gearshift and, during a harbour manoeuvre, causes a collision with another boat. Nevertheless, the skipper cannot generally be held at fault for a fault in a system that is essentially maintenance-free. However, there is room for debate regarding both potential third-party liability and the obligation of the skipper’s own hull insurance to pay out, as to what specific duties the skipper actually has with regard to a Bowden cable. Liability towards third parties must be determined on a case-by-case basis, as claims can only arise in the event of a proven and culpable breach of the duty of care.
What is the actual damage, and what is the consequential damage?
In the case of comprehensive insurance, the clause cited in the terms and conditions comes into play once again, stipulating that only the part in question – that is, the Bowden cable itself – is excluded from cover. All other damage to the owner’s own vessel would be covered by comprehensive insurance as so-called consequential damage. However, this does not mean that consequential damage is automatically covered by the insurance. Caution is advised in the case of consequential damage that is subject to other grounds for exclusion in the insurance terms and conditions, such as frost damage. An example: In Croatia, the owner, anticipating mild temperatures, fails to properly winterise the engine’s cooling circuit. Frost temperatures occur – which is not unusual in that region – resulting in ice forming on the seawater valve. Consequently, a cooling hose bursts away from the seawater valve.
Whilst the area of damage can, in fact, be specifically attributed to this section of hose, if, in addition, the interior of the vessel is destroyed as a result of seawater ingress, this consequential damage is generally not covered, as the exclusion clause relating to ‘frost’ applies. The only exception is if the frost damage is to be regarded as consequential damage resulting from another insured event.
Servicing intervals: Safety comes before saving money
Some insurers may, by individual agreement, reinstate cover for frost damage, but only on condition that it can be demonstrated that the manufacturer’s maintenance requirements for winter storage have been carried out. Under insurance law, the owner is therefore under a duty of care to comply with the required maintenance intervals, both in the short and long term. The proper winterisation of the entire engine compartment is one of the owner’s key duties of care, and this applies not only in northern regions. Particularly after purchasing older yachts, owners should therefore also seek advice from specialist firms in order to identify signs of ageing and wear and tear that are not visible from the outside.
Maintenance schedules drawn up by the owner can also be helpful. It goes without saying that, when deciding on refurbishments and replacements, safety should always take precedence over economic considerations, in the interests of those on board. Yacht hull insurance provides the owner with comprehensive cover – provided the terms and conditions are favourable. However, it is not the purpose of property insurance to finance the repair of a vessel that has developed faults due to age if maintenance intervals have not been adhered to.