Sea Trial Liability: Protecting Your Shop During Test Runs
After completing engine work, drive repairs, or other critical systems, a sea trial is often the only way to verify the repair was successful. But the moment that customer's boat hits the water with your employee at the helm, you've taken on significant liability. Here's what you need to know about protecting your business during sea trials.
Why Sea Trials Create Unique Risk
When you take a customer's boat out for testing, several things change:
1. You're operating the vessel: Any damage that occurs is clearly your responsibility 2. You're on the water: Risks multiply — collision, grounding, sinking 3. The boat may have unknown issues: You're testing it precisely because something might be wrong 4. Other boaters are involved: Potential third-party liability 5. Environmental factors: Weather, water conditions, obstacles
A routine sea trial can quickly turn into a major claim if something goes wrong.
Coverage Considerations for Sea Trials
Garage Keepers Liability
Your garage keepers policy is your primary protection for damage to the customer's boat. However, not all policies cover in-water operations. You need to verify:
- Does your policy cover boats while waterborne?
- Are there exclusions for operation vs. storage?
- What are the limits for in-water damage?
Some policies only cover boats while at your premises or in storage. If your policy has this limitation, you need an endorsement or separate coverage for sea trials.
General Liability
Your GL policy covers third-party injuries and damage. During a sea trial, this might include:
- Collision with another vessel
- Wake damage to docks or other boats
- Injury to passengers (if you allow them during tests)
- Property damage at marinas or launch ramps
Again, verify your policy doesn't exclude waterborne operations.
Marine General Liability
For businesses that regularly conduct sea trials, a marine general liability policy may be more appropriate than standard GL. Marine GL is designed for over-water operations and typically provides broader coverage for maritime risks.
Protection & Indemnity (P&I)
If you operate your own vessels (not customer boats) for any purpose, you may need P&I coverage. This is the maritime equivalent of auto liability and covers:
- Crew injuries
- Collision liability
- Wreck removal
- Pollution
Best Practices for Sea Trial Risk Management
Before the Sea Trial
1. Document the boat's condition: Photos and written notes before departure
During the Sea Trial
1. Use qualified operators: Only experienced employees should conduct trials 2. No passengers: Limit who's on board to essential personnel 3. Stay in familiar waters: Know the area — hazards, depths, traffic 4. Progressive testing: Start slow, build up to full operation 5. Monitor systems continuously: Watch gauges, listen for problems
After the Sea Trial
1. Document results: Note all observations about boat performance 2. Report any incidents immediately: Even minor ones 3. Photograph the boat's condition: Upon return to your facility 4. Complete service records: Full documentation of the trial
Common Sea Trial Claims
Understanding what goes wrong helps prevent future incidents:
Grounding
Running aground is one of the most common sea trial accidents. Causes include:- Unfamiliar waters
- Incorrect charts or GPS
- Distraction during testing
- Shallow water at low tide
Prevention: Know your testing waters, always check tide charts, use depth finders.
Mechanical Failure
Sometimes the repair wasn't successful, or another system fails during testing:
- Engine overheating
- Steering failure
- Drive problems
- Fuel system issues
Prevention: Progressive testing, continuous monitoring, not pushing systems too hard initially.
Collision
Contact with other vessels, docks, or fixed objects:
- Backing into the dock
- Striking a moored boat
- Collision with another moving vessel
- Contact with pilings or seawalls
Prevention: Slow speeds near obstacles, proper lookouts, experienced operators.
Weather
Getting caught in unexpected weather:
- Sudden storms
- High winds
- Reduced visibility
- Rough seas
Prevention: Check forecasts, stay close to shore, cut trials short if conditions deteriorate.
Should You Allow Customer Observation?
Some customers want to be present during sea trials. Consider:
Pros:
- Customer sees the repair work performed properly
- They can describe symptoms while underway
- Builds trust and satisfaction
Cons:
- Additional liability for passenger injury
- Customer may interfere with testing
- Distraction for your operator
- Potential witnesses to any problems
If you allow customers on sea trials, get a signed waiver acknowledging the inherent risks. Also verify your liability coverage includes passengers.
Alternatives to Sea Trials
When possible, consider alternatives that reduce risk:
1. Static testing: Run engines at the dock with load simulators
Getting Proper Coverage
Sea trial liability is too important to guess at. We recommend:
1. Review your current policies: Confirm in-water coverage exists 2. Discuss operations with your agent: Be specific about your sea trial practices 3. Consider marine-specific coverage: If standard policies have gaps 4. Document everything: Good records protect you in claims
Protect Your Business on the Water
Sea trials are a necessary part of quality marine repair. Make sure you're properly protected before that customer's boat leaves the dock.
Call us at (844) 967-5247 to review your sea trial liability coverage, or request a quote online.