April 2026 WATERLINE | 41 INSURANCE RISK ON THE WATERFRONT Nautilus Marine Insurance CEO Lyndon Turner shares some insights about the operational risks marinas and yacht clubs need to manage Marinas and yacht clubs operate in one of the most dynamic environments in the marine sector. They are commercial businesses and community hubs, and they manage valuable waterfront infrastructure. By design, they are often open and accessible. At the same time, they manage high-value vessels, complex electrical and fuel systems, lifting equipment and densely populated berthing areas exposed to weather and public movement. Risk in this environment is inevitable. So, it’s vitally important that operators and owners clearly understand these risks and consistently manage them through industry best practices. Modern waterfront facilities recognise that risk management is not about restriction. It is about professionalism, systems and culture. It is about operating with confidence because exposure has been identified and addressed. “Marinas and clubs are accessible and they should be,” says Lyndon Turner, CEO Nautilus Marine Insurance. “They provide great outlets for customers to enjoy their favourite pastime. The openness of their environments should be encouraged, with the appropriate protections to make sure there aren’t exposures to the business.” That balance between accessibility and protection defines today’s marina operations. SITE SECURITY AND GENERAL ACCESS Many marinas can’t simply close a gate and limit movement. Members, contractors, and visitors circulate through the site daily. That activity drives both community and commercial success. The starting point is understanding exposure. “It is about making sure the site knows where its exposures exist,” says Turner. “Higher traffic situations, public access points and even particular berth holders can create different risk considerations. The more proactive the operator is in understanding those exposures, the better positioned they are.” In practice, this means focusing on fundamentals: • Identifying high-traffic and uncontrolled access points • Reviewing lighting, surveillance and access systems • Conducting regular documented inspections • Setting clear expectations within berth agreements • Reinforcing shared responsibility through communication Of course, not every risk originates from the facility itself. Vessel condition and onboard systems can introduce variables outside direct control. However, business operators can influence standards and awareness. A strong safety culture encourages berth holders to report concerns and support site protocols. The objective is not heavy enforcement, but consistent standards that protect assets while maintaining a welcoming environment. STAFF AND CONTRACTORS Marinas are high-activity work sites. Electricians, mechanics, riggers and other marine trades operate alongside staff every day. This activity is essential to servicing boat owners, but it introduces layered responsibility. Structured contractor management reflects operational maturity. “Ensuring that third-party trades or contractors coming onsite have valid insurance is critical,” says Turner. “Best practice would also be to make sure they are inducted into the site, and aware of the unique hazards that occur at that particular location.” Clear processes protect both the operator and the contractor. Well-managed facilities typically: • Verify contractor insurance certificates of currency before granting access • Maintain site-specific inductions • Define restricted work areas clearly • Ensure agreements outline responsibilities • Keep accurate approval records Turner also highlights clarity around risk appetite. “If you know something is wrong before it enters your environment and you accept it anyway, you are putting a heightened risk on your business,” he says. Understanding what risks are acceptable within your operation is a leadership decision. When expectations are clear, disputes reduce, and professional standards lift across the site. FIRE AND EMERGENCY RISK MANAGEMENT Fire remains one of the most serious risks in a marina environment. Vessel density, shore power connections and fuel systems create conditions where incidents can escalate quickly. “Fire is consistent as a risk for any building,” says Turner. “The uniqueness for marinas and yacht clubs is the density of vessels in their environment, many of which they do not have complete control over.” Preparation is therefore critical. Effective facilities typically maintain: • A regularly reviewed risk register • Documented emergency response procedures • Ongoing staff training and drills • Clear communication protocols • Practical education for berth holders “It can be chaotic when an incident occurs, so applying those procedures in dummy runs is helpful,” Turner notes. Regular drills build staff confidence and demonstrate leadership. Education for boat owners strengthens the overall safety culture. When owners understand safe electrical practices and reporting procedures, they become active contributors to risk reduction. Preparedness does not eliminate exposure, but it significantly improves a facility’s response capability. OPERATING WITH CONFIDENCE No marina can remove every risk. Severe weather, equipment failure and human error remain part of the waterfront landscape. What distinguishes leading facilities is preparation and response. “You have to own the situation,” says Turner. “How you communicate, how you manage it and how you learn from it will define your reputation.” Transparent communication, documented systems, and a commitment to review and improvement reinforce credibility with members and stakeholders. Risk on the waterfront is inherent. Professional best practice lies in understanding it, reviewing it regularly and embedding clear standards across the site. Facilities that take this approach are not operating defensively. They are operating confidently, protecting their assets, their community, and their long-term reputation. Scan the QR Code to access lithium-ion battery safety resources you can share with your berth holders. Disclaimer: Content is general information only. It is not legal, safety, operational, financial, or insurance advice and does not consider your individual circumstances. Regulatory requirements may vary by jurisdiction. Readers should seek professional advice relevant to their situation. Nautilus Marine Insurance and the author accept no liability for reliance on the information provided. External resources linked via QR code are provided for convenience only.
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