LONDON, Aug 29 (Reuters) - Insurers of the Bayesian

superyacht that sank this month, killing tech entrepreneur Mike

Lynch and six others, could be on the hook for at least $150

million, according to the first estimates by industry experts.

The British-flagged 56-metre-long (184-foot-long) yacht,

which the experts estimated cost around $40 million, capsized

and went down on Aug. 19 within minutes of being hit by a

pre-dawn storm while anchored off northern Sicily.

The superyacht's hull was insured against physical damage by

yacht insurance provider OMAC and a consortium of insurers

including Travelers Companies Inc ( TRV ), Navium Marine and

Convex, Reuters reported last week.

Its protection and indemnity (P&I) insurance, which

typically covers third-party liability claims including for

environmental damage, injury and death, was provided by British

Marine.

The hull was likely insured for around $40 million, while

the P&I cover would be larger, insurance sources said.

"Our understanding is that the cost of the boat was between

$40 and $50 million, so the limit of the hull & machinery policy

was probably around those values," said Marcos Alvarez, managing

director, global financial institution ratings at Morningstar

DBRS.

The P&I policy would likely be "several multiples" of the

hull policy, or $200-300 million, Alvarez added, noting it would

also likely cover liability payments even if the captain or crew

are found to be negligent.

Prosecutors in the town of Termini Imerese, near Palermo,

are investigating the captain and two other crew members. An

investigation does not imply guilt or mean formal charges will

follow. Prosecutors have said the probe would take time and

require salvaging the wreck.

Oscar Seikaly, CEO of broker NSI Insurance Group, that

provides yacht insurance, estimated the hull value at $40-70

million, but said P&I cover might not total more than $100

million.

P&I insurance would also cover recovery of the Bayesian,

said Francesco Dubbioso, country manager for Italy for insurer

Alta Signa Europe, who estimated the superyacht's value at $30

million to $40 million.

Reuters is the first to report the potential insurance

costs. OMAC, Travelers and Navium Marine did not immediately

respond to Reuters' for comment. Convex declined to comment.

The Bayesian disaster, which has puzzled experts who said

the boat would have been built to withstand a severe storm, adds

to recent woes for yacht insurers, who have faced a raft of

hurricane losses in the past few years.

Premium rates have risen by four to five times in the past

couple of years in parts of the U.S. and the Caribbean, and

yacht insurers have cut the amount of cover they provide because

of the risks, Seikaly said.

As a result, insurers have increased rates and re-evaluated

their guidelines and risk appetite, according to industry

experts.

As well as hurricanes, insured losses have mostly stemmed

from severe storms, floods, and other weather events in North

America, the Caribbean, and Europe, according to a report by

broker Marsh.

Seikaly said four clients had last week been ready to buy

boats but changed their minds because of the high cost of

insurance.

Climate change was also likely to add to yacht insurers'

worries, Seikaly added, as it throws up more unexpected events.

"Whoever thought a storm in the Mediterranean in the month

of August is going to sink a ship?"

(Additional reporting by Sinead Cruise; editing by Michelle

Price and Sandra Maler)