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Sailboat InsuranceAustralia · Independent guide

How to Choose a Boat Insurance Broker in Australia

How to Choose a Boat Insurance Broker. Covers checking a broker's licence and broker commissions and fees.

By Gabriel2 min readUpdated Last reviewed

Brokers

Checking a broker's licence

  1. Ask for the Australian Financial Services licence number, or the licensee they are an authorised representative of.
  2. Check it on ASIC's professional registers — both the licensee and the representative.
  3. Confirm what the licence authorises them to advise on.
  4. Ask whether they hold a binder for any insurer, which changes who they represent.

Broker commissions and fees

A broker is paid by commission built into the premium, by a fee charged to you, or by both. None of those is wrong; not disclosing them is. The Financial Services Guide must set it out, and you are entitled to it before you commit to anything.

Insurer panels and market coverage

What you hearWhat it usually means
"We searched the market"Ask which insurers, by name — the answer tells you the real breadth
"We have a facility for this"A binder or scheme; can be excellent value, but it is one market
"We are appointed by X"They may be acting for the insurer rather than for you
"We can only quote our panel"Fine, if you know it and can compare against a direct quote

Vessel-specific broker experience

The fastest way to assess a marine broker is to ask a question only a specialist answers well. For a sailboat, ask how standing-rigging age will affect placement. For a catamaran, ask which markets currently have multihull appetite. For an offshore passage, ask what crew conditions to expect. A vague answer to any of those is your answer.

Written broker service confirmation

  • Which insurers were approached, and which quoted
  • Every condition agreed on your behalf, and the deadline attached to each
  • The settlement basis and the sum insured recorded on the certificate
  • The insured cruising area, and the process for extending it
  • Whether the policy is re-marketed at renewal or rolled over

Take the same facts to every market

A broker can only outperform a direct quote if the vessel information is complete and consistent. The checklist covers everything an Australian marine underwriter will ask.

Open the checklist

Frequently asked questions

How do I check an Australian insurance broker is licensed?

Use ASIC's professional registers to look up the Australian Financial Services licensee and any authorised representative. APRA separately publishes the list of authorised general insurers, which is worth checking for whoever ends up carrying the risk.

Should I use the broker my marina recommends?

Possibly, but ask the same questions you would ask anyone else — particularly about remuneration and whether the recommendation involves a referral arrangement.

General information onlyThe information on sailboatinsurance.com.au is general educational information only. It may be wrong, incomplete or out of date, and you should not rely on it as a substitute for the current policy documents or professional advice. It does not take into account your objectives, financial situation or needs and is not personal financial product advice. Insurance cover depends on the actual policy wording, Product Disclosure Statement, certificate of insurance, endorsements, exclusions, limits, sub-limits and underwriting decisions that apply to your vessel. Always read the current policy documents before buying, renewing or changing cover. For legal, financial or insurance advice about your own circumstances, consider speaking with an appropriately licensed professional.