Most policies feature low liability limits and simple one-page applications. This, combined with its high renewal rates, make it seem like money from home. Edwin M. Rollins Agency Inc., a Charlotte, North Carolina, managing general agency for Northland, likes the niche. It's easy to write, the premiums are nice, and they have an additional contingency contract, says Edwin M. Rollins, the agency's president. Like the product it covers, though, insiders warn that personal watercraft insurance may look like fun, but the waters can be choppy.
Losses can range from simple theft to death.
Collision between two vehicles is one of the most common losses for American Modern, and death is a very real risk when reckless users bring the skis close to heavily populated beaches. Because of this, independent and managing general agents marketing the coverage must be careful with underwriting. Motor size ranges from 750 to 1100 cc, with speeds in the upper 50s. Manufacturers are making personal watercraft as safe as they can. Unlike propeller boats, the props on skis are enclosed, protecting the user in case of a fall.