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**JPA Cate** · 31-01-2024, 12:16

I'm aware the advice above is sound financially. However, sometimes people become emotionally attached to their boats, as in grateful to it for taking good care of them, something akin to love. People vary in this, from dollars and sense to strong emotional attachment.

So, we were somewhere on the emotional attachment side of things when we had to let our rig slide into the sea. And we set about repairing the boat. As it happened, the rig had been in good condition: the forestay was only 2 yrs. old; and the headsail was the same age.

Our process was first to go talk to riggers, since we were far from our homeland. We talked to 3 companies' reps, and chose the company from which the rep told us, "I don't know the answer to that. I'll check with the engineer and get back to you." He followed through and was honest.

Now, this being a long time ago, the boat had cost ~$63k, and the repairs alone (not counting the marina fees) were ~$30k, but we wound up with a new double spreader rig, vs. the single spreader, on the recommendation of their engineer, all new running and standing rigging, two new sails, a new radar, new VHF antenna, new bow pulpit (got smashed when the rig came down) and lifelines...a lot.

After that, we still sailed the boat, went offshore again, and as I said in your earlier thread, I had therapy for PTSD, because I would keep feeling frightened when the wind got up, which led to the knockdown and pursuant damage, which led to the dismasting. The therapy is not included in the above figure, either.

However, we did survive to sail another day, and did eventually get this bigger boat.

I hesitate to offer advice to you because I really don't know you--call me faceless Ann if you will, but I've observed you from afar, and I believe you could recover from this and continue to sail, and I think that fixing the boat up for your own use might accomplish your healing from the event. It really helped Jim, but he and I were differently traumatized. Same event, very different reactions. I felt guilty that I had let this event occur to my boat. Whereas he just knew it was time to dig in and fix it. He had been dismasted once previously. If your good lady is game to give it a go, and you also want to, you can work your way back from this and continue sailing. But the will has to be there. And then you work to trust yourselves and the boat again.

My most heartfelt hopes for you to make the best decision for you that you can. I trust you to cast out any dross that may appear in the way of smart alecky advice.

And give your good lady wife a hug from me. I know this isn't easy for her, either.

Ann

Greatest Lakes · 31-01-2024, 12:43

Sorry to lose sailors. In any case, if the insurance company will total it, great. If not, you might do better to part the boat out. Well. What's left of it. Winches aren't hard to remove and will still be several hundred, a steering wheel a grand, a pedestal 1500, anything that's not the hull can have a potential buyer. Investing in a boat you intend to get rid of usually winds up costing the owner more money.

malbert73 · 31-01-2024, 12:58

Might you find a dreamer who will buy the boat for 10K as is? Then pocket the repair money and sell the boat

5BTM · 31-01-2024, 14:38

"I'm aware the advice above is sound financially.."

No offence intended and not belittling the emotional costs but
in financial matters the only advice that matters is the finacialy sound one.

I have a Finance degree and I could bore you with the concepts of Time Value of Money. Present Value, discuss the fallacy of using IRR to evaluate future cash flows, etc etc. but the most important part of making a financial decision is to take the emotion out.

wholybee · 31-01-2024, 14:53

An option might be to take the check, and then to a partial repair. Look for used sails, or a used mast. Skip the Radar. I doubt those things would have much of an impact on the final selling price.

Likely, I would fight to have it a total loss, and take the settlement check. You don't know about cost overruns, but they will happen. If you get it fixed? Are you insured? Would you be able to get a slip without insurance? How long will you pay to insure and have a slip before it sells? Unless you didn't do the full work quoted, I don't think you would see any of that $15k.

**JPA Cate** · 31-01-2024, 14:56

Quote:

Originally Posted by 5BTM

"I'm aware the advice above is sound financially.."

No offence intended and not belittling the emotional costs but
in financial matters the only advice that matters is the finacialy sound one.

I have a Finance degree and I could bore you with the concepts of Time Value of Money. Present Value, discuss the fallacy of using IRR to evaluate future cash flows, etc etc. but the most important part of making a financial decision is to take the emotion out.

You're right.

The problem is in where the individual's personal values lie. And for people to whom a financial decision's propriety or priority is more intangible than just money by itself, the decision which follows their heart may be the better one for them, which, imo is why sb1 should make the decision that fits himself and his good lady according to his own values.

My Masters' isn't in finance.

I may have written about it in a post to Chotu, but it is not part of my profile. But you're still right, because perhaps the money is the only way for sb1. I don't know, but I do know, and from personal experience, that there is more than one way to successfully come back to sailing following a dismasting. Also, I think it is an important thing to say, to encourage him, should he decide to return to sailing, not just take for granted that he will not want to.

Ann

jeanathon · 31-01-2024, 15:18

A note on agreed value. I had a boat that I insured for an agreed value of $6k which was damaged in a storm at a marina. Had the insurance come out and say the damage was more than 6K, but that the boat was worth about $15k. Because it was so underinsured the insurance company would not take the boat for fear of being audited. They gave me a check for $6k and told me to have a nice day. A little repair and I kept sailing that boat.
I would have an honest talk with the adjuster and see what they say.

wholybee · 31-01-2024, 15:23

Quote:

Originally Posted by 5BTM

"I'm aware the advice above is sound financially.."

No offence intended and not belittling the emotional costs but
in financial matters the only advice that matters is the finacialy sound one.

I have a Finance degree and I could bore you with the concepts of Time Value of Money. Present Value, discuss the fallacy of using IRR to evaluate future cash flows, etc etc. but the most important part of making a financial decision is to take the emotion out.

I have learned the hard way that taking the emotion out is very bad advice. A person needs to be happy with their life and decisions. If they are not, either because of poorly balancing a financial decision with quality of life, or some other reason, they will regret it, even if they end up with more money in the end.

shimari · 31-01-2024, 15:38

Quote:

Originally Posted by Panope

Do you have a third option of pocketing the repair money and selling the boat "as is"?

Edit: Sorry, I see you answered that already.

Never mind

Before you make your decision, I'd look into this. Taking the money, and then selling as is may get you close to the $75k estimate with less hassles.

5BTM · 31-01-2024, 17:12

If everything goes hunky dory and your estimates are 100% correct and you do get the extra $15k two years in the future, given that there are 2000 working hours per year, you will earn an equivalent of $3.75/hr.

sailorboy1 · 31-01-2024, 17:51

The difference is $115/mo for 30 years

Lee Jerry · 31-01-2024, 17:52

Quote:

Originally Posted by sailorboy1

I have a major relative who does this exact thing in an insurance company. Apparently the thing for totaling has nothing to do with the cost to repair being more than Agreed Value, it has to do with Market Value.

So what do they think is fair market value? Do they use 100% of it, or something a little less?

Above you say the lowest current listing is $85k. (Note asking price isn't necessarily selling price. A broker could get the recent sale prices.) But I would think that a boat with new rigging, mast, sails and some electronics could do better than many of the other listings, let alone the lowest. So maybe that $15k additional could/would/should be somewhat more. Maybe >$30k.

I think you should fix it up. Then maybe start sailing it again while trying to sell and see if the bug returns.