And as more people think that personal watercraft look like fun, more nonstandard insurers and their agents are deciding to take a spin in the market by selling stand-alone policies to cover the craft. And growth seems unlimited. And we don't see that changing unless there's a major recession. Nonstandard insurers like personal watercraft because it's a natural outgrowth of their watercraft divisions. Agents like it because it's a no-brainer to underwrite.
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.