FAQ Booking a Yacht Charter
If you have not read part one of our series on working with your Yacht Charter Broker, take a minute and catch up before this week’s episode at FAQ Crewed Yacht Charters. I’ll wait!
Back? Now you know what a Yacht Charter Broker is and why you want to use one.
Welcome to part two of the FAQ for booking a yacht charter!
How do I reserve a yacht vacation?
We’d like to suggest a selection of yachts that perfectly align with your vision of an ideal yacht charter vacation.
Rest assured, the H2O Team brokers will diligently verify the availability of yachts and promptly provide you with the relevant information. This includes pricing details, special offers, and valuable tips to ensure your vacation is perfect. We are committed to finding the ideal yacht for your charter vacation.
You find the ideal yacht and say “yes”!
We put a “hold” on the yacht with the clearinghouse or fleet representing it. A “hold” lasts two weeks and gives the broker and you the chance to make the contracts, look into airfare, and make the deposit.
A yacht may only be held for several days if you are looking at superyachts, or in Europe, we typically cannot hold boats; we need to be ready to deposit them at the time.
You will need someone else to hold the yacht while you hold it, EXCEPT if someone else has guests for the dates you hold and is ready with cash in hand. You can be “challenged” on the times.
Should someone else express interest in the same dates, you will be ‘challenged ‘. This means you have 48 hours (business) to confirm your booking by making the required deposit, or the dates will be released for others to book. This process ensures fairness and transparency for all our clients.
Do charters have to start or stop on specific days of the week?
No, not usually. Usually, it’s just a matter of where the gaps are in the yacht’s booking calendar. The only exceptions are:
1) Christmas and New Year’s weeks. Boats always book both these weeks, so they have a specific changeover date from the Christmas charter to the New Year’s charter. Yachts may also want ten nights minimum over this period. They don’t do under a seven-night trip. Super Yachts may ask for ten nights.
2) Bare boats (where you Captain yourself) in different parts of the world often have a Saturday to Saturday.
3) In Greece and Croatia, fully crewed catamarans tend to do Saturday to Saturday charters in the main summer season.
Do I have to sign a contract?
Yes, Each yacht charter comes with a corresponding agreement that safeguards the interests of all parties involved. This agreement outlines essential details such as terms, prices, dates, number of guests, and other conditions.
The contract serves as a protective measure for both the yacht and your charter party. It involves the signature of multiple parties, including yourself as the charter broker, sometimes the Clearinghouse or Yacht Manager, and the Yacht Owner, ensuring a comprehensive agreement.
Contracts are industry standard, and differ depending on where you are, the type of yacht, and the kind of yacht vacation.
What and When are payments due to pay for my yacht vacation?
Upon getting the all-clear that the dates you want are open and the rate is correct, you sign the contracts and make the deposit. Typically, you count on 50% down of the charter rate to confirm a charter, and then the final balance is due 45-60 days out, along with any extra expenses, such as the APA (Advanced Provisioning Allowance), which many yachts charge depending on the area of the world.
In some instances where the charter dates are more than six months away, it is possible to secure the charter by paying an initial 25% deposit. The remaining 25% can be paid six months before the charter start date, specifically for fully crewed and inclusive catamarans in the Caribbean
How do I pay for my yacht vacation?
Everyone does things differently, but generally by wire or electronic transfer. North America still readily accepts checks, and some companies will facilitate this. Some companies take credit cards but be prepared to pay the surcharge. If a company takes Credit Cards, additional stringent forms and due dates will be required.
What happens to my yacht vacation money?
The boat gets a notice from their clearinghouse that they have a charter!
The base charter fee will go into an escrow account. The deposit could be through us the charter broker, but 99% of the time, we pass it along to the clearinghouse or a Charter Yacht Broker trust association.
Ten days or longer out from the charter, 35% of the charter fee is released to the boat from the escrow account, allowing them to provision for your charter. The balance is paid to the yacht on the day your charter goes out at the earliest or when you return.
What happens if I have to cancel my yacht charter vacation?
This depends on the area of the world and the contract that the particular yacht uses. Sometimes, we can find someone else to fill in the dates, and you could receive a partial refund. Cancel For Any Reason or other types of insurance are always recommended.
In some cases, a boat will be happy to change the dates for you with no penalty. Each case is different.
So that you know, you will only be responsible for payments that you have made.
Do I need Travel Insurance for my yacht charter?
Travel and cancellation insurance is always a good idea, as it covers the portion you will NOT receive back!
You or someone at your party may need help making the trip or may have to leave early. Not only are you ensuring for your vacation but also for getting to and from there. Basic insurance starts at about 3.5% of your total vacation cost. Rates can rise to 6 to 8 % for full coverage deals.
During the three months of high hurricane season in the Caribbean (August through October), some vessels may require you to take insurance; otherwise, it’s up to you. If you always get to the airport three hours early, taking insurance will help you maintain peace of mind.
Another utterly different type of insurance is insurance on a yacht. If you are taking any option except bareboating (where you Captain the boat yourself), you do not need coverage for the vessel. However, if you are bareboating, you may be required to have accident insurance.
How much do I tip my yacht crew?
Tipping is a big part of the charter industry’s income. Crews are at your call for 16-24 hours a day. Usually, no request is too much. They started working on your charter at least the day before you arrived and often spent countless hours looking for an item on your preference sheet. Tipping in the industry is expected!
Of course, the tipping rate varies depending on the type of yacht and the region. Broad guidelines for superyachts are 10- 15% of the charter agreement rate.
In the Caribbean, 20% is the industry standard for a fully crewed and inclusive yacht charter. Adjust your gratuity depending on the service level you feel you have received.
Tips are handed to the captain at the end of your trip. He then hands out shares to each crew member. On most boats, everyone gets an equal share. Cash is always king!
Some yachts will take credit cards, checks, Venmo, and PayPal. If you want to use cards or PayPal, please let us know so we can check it out with the crew beforehand.
I hope this cleared up some answers for you on the yacht booking process! Part # 3 on Different types of Yacht Charters is now out
Have any questions? On FAQ Booking a Yacht Charter? Ask away!
H2O Luxury Yacht Team Members are standing by, ready to help you.