Insurance

[owenfred18]

Hello all!

I have a question regarding insurance and I’m not entirely sure where to post so I figured I’d start here.

I am a U.S. Navy Diver and I am also an ADCI qualified commercial diver. I am interested in doing some side work as a Diver for hire but I want to make sure I am crossing all of my T’s and dotting my I’s with insurance and what not.

Is anyone familiar with what type of insurance is required and/or recommended for this type of diving?

I have been exploring Dan Diver Insurance but it doesn’t really jive with what I’m looking for as it is more geared towards the hobby lobby / instructor SCUBA diving.

Thanks in advance!

-Owen F.

 

[Akimbo]

It depends a lot on what kind of commercial diving you will be doing and where. Are you thinking in terms of being a temporary employee, an independent contractor, or starting a diving services company?

 

[owenfred18]

It depends a lot on what kind of commercial diving you will be doing and where. Are you thinking in terms of being a temporary employee, an independent contractor, or starting a diving services company?

Thank you for moving this to the correct forum!

I will be starting my own little business doing hull cleanings, light ships hus. (aka zincs, props, uw appendages, etc.) and light salvage / search and recovery. I wouldn’t really consider it to be commercial diving in any shape or form but it is beyond hobby lobby PADI diving so I’m not sure which insurance is the appropriate route.

Thank you again!

-Owen

 

[lowwall]

Commercial diving is commercial diving. You fall under the same regulatory framework whether you are recovering someone's outboard in 30' or cutting steel on a deep, dark sat dive. Insurance is written for commercial diving operators and the insurer is going to insist on seeing that they are meeting all the required regulations.

You can start your reading here if you want to set up your own legit commercial diving op: Commercial Diving - Overview | Occupational Safety and Health Administration

Obviously there are tens of thousands of dives like you described that are done each year without all the above. But it's all wildcat and you won't be able to get insurance coverage for it. Or worse, they might underwrite you and then refuse to pay out later since you won't have met all the terms of the coverage. You might find that an acceptable risk for your own diving, but don't hire employees, even as 1099 contractors, without jumping through all the regulatory hoops and getting insurance coverage. Otherwise if things go wrong, you are opening yourself up to criminal liability as well as financial ruin.

The aboveboard (pun intended) options are as outlined by Akimbo. If you are diving for someone else, they should have the insurance policies.

 

[Akimbo]

In addition to lowwall's comments, you also need to set up a business, like any other type of business, in the area(s) you plan to work. That may require a contractors license in addition to a business license. Commercial ships will often require entirely different insurance than private boat owners.

All of my work has been offshore but I understand that starting relationships with marine inspectors is a good move.

I am interested in doing some side work as a Diver for hire

That is a pretty vague statement. You need to be a serious business unless you are just scraping bottoms for cash. The latter means you are competing with Scuba divers working for beer money. Will this sideline create a problem with your real job?

 

[Superlyte27]

Hello all!

I have a question regarding insurance and I’m not entirely sure where to post so I figured I’d start here.

I am a U.S. Navy Diver and I am also an ADCI qualified commercial diver. I am interested in doing some side work as a Diver for hire but I want to make sure I am crossing all of my T’s and dotting my I’s with insurance and what not.

Is anyone familiar with what type of insurance is required and/or recommended for this type of diving?

I have been exploring Dan Diver Insurance but it doesn’t really jive with what I’m looking for as it is more geared towards the hobby lobby / instructor SCUBA diving.

Thanks in advance!

-Owen F.

This isn’t really possible to do legitimately. I say this as a guy who spent the first half of adulthood as a commercial diver and the second half of adulthood as an insurance guy. But worse than that is how you’re mandated by OSHA and Workers Comp. You either need to go all in and be a big deal or do nothing, or run under the radar.

Insurance for what you want to do will cost more than your annual revenue.

 

[FF / EMT]

If you’re going to start a business, you’re going to need a name.
How about:

Seamen Divers
Squid Salvage and and recovery
Bubblehead underwater salvage.

And a slogan too!

How about
“we float your boat”
“We go deep”

 

[BRT]

This isn’t really possible to do legitimately. I say this as a guy who spent the first half of adulthood as a commercial diver and the second half of adulthood as an insurance guy. But worse than that is how you’re mandated by OSHA and Workers Comp. You either need to go all in and be a big deal or do nothing, or run under the radar.

Insurance for what you want to do will cost more than your annual revenue.

Do OSHA regulations now affect people that are self employed? OSHA is an insurance company. The reason they have regulations is to limit their exposure. I once made the mistake of taking their insurance for myself during a time when I couldn't find a health insurance company that would insure me for on the job injuries. Big mistake, and I got out of it. So far, when I tell a L&I inspector (Washington's version of OSHA) that I am the only person allowed to run a certain machine, the inspector has no interest in that machine.

 

[lowwall]

Do OSHA regulations now affect people that are self employed? OSHA is an insurance company. The reason they have regulations is to limit their exposure. I once made the mistake of taking their insurance for myself during a time when I couldn't find a health insurance company that would insure me for on the job injuries. Big mistake, and I got out of it. So far, when I tell a L&I inspector (Washington's version of OSHA) that I am the only person allowed to run a certain machine, the inspector has no interest in that machine.

This is such a confused mess that is hard to know how to respond. OSHA is not an insurance company and offers no insurance coverage, it's a federal regulatory agency that directly oversees the safety aspects of all commercial diving operators in the US (and several US territories and affiliated entities). The regulations are written to keep workers safe, not to limit the liability of the US government. The old saying that they are written in blood is absolutely true.

You are correct that OSHA regulations do not cover the self-employed. So, like I said above, if you are willing to do all your work solo, then go ahead. But don't expect to find insurance that will cover you or your customers while you do it.

 

[BRT]

This is such a confused mess that is hard to know how to respond. OSHA is not an insurance company and offers no insurance coverage, it's a federal regulatory agency that directly oversees the safety aspects of all commercial diving operators in the US (and several US territories and affiliated entities). The regulations are written to keep workers safe, not to limit the liability of the US government. The old saying that they are written in blood is absolutely true.

You are correct that OSHA regulations do not cover the self-employed. So, like I said above, if you are willing to do all your work solo, then go ahead. But don't expect to find insurance that will cover you or your customers while you do it.

OK, I have only dealt with WISHA, and they have to meet or exceed OSHA standards to be in the lead in Washington State. But their regulations are in effect to lower claims to the state for on the job injuries. Excess injuries raise the cost of our insurance that we pay to the state.