1
FIRST PRIORITYMajor Medical, Evacuation & Repatriation
Benefits: Crew member + employerThis is where I would put the budget first.
If a crew member becomes seriously ill or injured, the captain needs a point of contact to call, sufficient medical limits to get the crew member treated and appropriate emergency evacuation and repatriation cover.
Look at:
- Major medical limit
- Hospitalization
- Inpatient and outpatient procedures
- Surgery and emergency treatment
- Emergency medical evacuation
- Repatriation
Depending on the carrier, major medical limits can range considerably, from $100,000 or $250,000 to $1 million or $5 million.
The appropriate limit depends on the vessel's cruising area, where treatment may be required and the available monthly budget.
My view: These are the medical bills that can become financially significant very quickly. This is the foundation of the cover.
2
EVERYDAY BENEFITSRoutine, Preventative, Dental & Vision
Benefits: Crew memberUseful benefits, but generally smaller financial exposures.
Once sufficient major medical, evacuation and repatriation protection is in place, I would look at the everyday benefits.
- Annual physicals and preventative examinations
- Wellness benefits
- Routine doctor visits
- Treatment for minor illness or injury
- Dental cleanings, examinations and X-rays
- Vision examinations, glasses and contact lenses
Depending on the carrier, preventative and wellness benefits can range from approximately $250 to $2,500 per year.
Dental benefits are typically limited to approximately $1,000 to $3,000 per policy year. They commonly focus on routine care such as two cleanings, examinations and X-rays, with additional dental treatment depending on the plan.
These are valuable benefits, but they generally represent a much smaller financial exposure than hospitalization, surgery or emergency evacuation.
My view: I would not reduce a sufficient major medical limit to $100,000 simply to add dental, vision or richer routine benefits. Protect against the potentially significant financial exposure first, then use the available budget to build out the routine benefits.
3
CREW PROTECTIONDisability, AD&D & Life
Think about who benefits.
This is where the needs of the crew member, employer and crew member's dependents become important.
Temporary Total Disability (TTD)
Benefits: Crew member + employerIf a doctor determines that a crew member is medically unfit to return to work following a covered illness or injury, the crew member can continue receiving their wage while recovering.
The employer can be reimbursed for covered wages paid to the crew member. This can help offset the cost of temporary crew needed to fill the position while the crew member recovers.
Depending on the plan, TTD may run for 16, 52 or up to 104 weeks. It is not a long term disability solution, but it protects the crew member's income and helps the employer during the recovery period.
Accidental Death & Dismemberment (AD&D)
Benefits: Crew member + dependentsAccidental Death pays the beneficiary or dependents following a covered accidental death. If a crew member has no financial dependents, this may be less of a priority.
Dismemberment can be particularly important to the crew member. A qualifying serious injury that prevents someone from returning to their previous work aboard a vessel can result in a lump sum payment.
Depending on the plan, benefits may be fixed amounts such as $10,000, $50,000, $100,000 or $250,000, or a percentage of annual salary, potentially up to 300%. The degree of the covered injury determines the percentage paid under the policy schedule.
It is not a permanent income solution, but it can provide a useful financial head start if an injury results in a change of career.
Life Insurance
Benefits: Dependents / beneficiaryThe importance of life insurance largely depends on whether the crew member has dependents at home who rely on their income.
Crew with a spouse, children or other financial dependents may place greater value on this benefit. Some crew members may already have their own life policy specifically designed to protect their family.
For crew without dependents, I would generally place greater emphasis on major medical, evacuation and disability protection.
