Boat Insurance: Description Of Boat Insurance

The sun is out. The water is warm. It’s a good day for boating. However, boating accidents do happen. Having boat insurance will help you recover from a boating mishap and get you back on the water.

Marine insurance companies insure many different types of boats for a large range of potential problems.

You can tailor your insurance to your needs. Not having boat insurance is not against the law. However, protecting yourself and your boat, your family and friends, and other summer vacationers, is highly recommended. Boat insurance is divided into several categories:

  1. Pleasure boat insurance is for powerboats and sailboats that are under 26 feet in length and do not exceed 50 miles per hour. Your boat insurance can cover damage as a result of fire, theft, vandalism and weather. Coverage for damage to your boat’s hull, some of your boat’s mechanics, riggings and operating gear is available. You can also include property damage, bodily injury, theft and liability. There are a number of onboard items that are not covered, such as personal watercraft (PWC), certain types of outboard motors, and valuables such as jewelry and cell phones.
  2. Yacht and luxury boat insurance is for your cruiser or sailboat that is 27 feet long and over. This boat insurance has a much wider range of coverage because larger boats can go further and have specialized rigging and equipment. You can also include hurricane coverage that will pay to have your boat moved to safety if a hurricane warning has been issued. There is also a navigational warranty that will cover your yacht in a certain geographical area. If you wish to take your boat outside the covered area, you can purchase a temporary trip endorsement.
  3. Boat Insurance: Description Of Boat Insurance
  4. Personal watercraft (PWC) insurance must be purchased separately from your boat insurance. The reason for this is the level of risk. PWCs have a very high accident rate and accidents are usually the fault of the PWC operator. This pattern has labeled PWCs as high risk, requiring special and more expensive insurance for PWC owners. This type of boat insurance can cover bodily injury, damage, liability and theft.

Boating is a great way to spend your summer but as a boat owner, you are responsible for your boat, your friends and family on your boat and any incidents that may occur. Get boat insurance to take the financial risk out of boating.

Boat Insurance: Why Have Boat Insurance?

Water recreation popularity has increased dramatically and with it, comes increased risk as more people enter the water with their boats and PWCs (personal watercraft). Although you do not legally need boat insurance, most marinas will not let you dock without it. There are many reasons to purchase boat insurance.

Here are a few:

  1. Stealing a boat is easier than stealing a car.
  2. Even experienced boaters can make mistakes, especially where there are a lot of boaters and swimmers in the same area.
  3. Swimmers in deep water are difficult to see and can be accidentally run over. There is a wide variety of reasons why a swimmer would be far from shore, including exercising, surfing, scuba diving, operating a PWC (such as a jet ski), or water skiing.
  4. Storage and transportation can have adverse effects on your boat. Theft, vandalism, mishandling, improper storage and other types of damage can occur to your boat and trailer.
  5. Mechanical failure on the water. Boat insurance can cover motors and other repairs, as well as a tow back to shore. You can also get roadside assistance for your boat if you need a tow on land as most auto insurance policies do not cover a boat tow.
  6. The risk of collision between two boats increases dramatically as the waters continue to become more and more crowded. Boat insurance will help cover boat damage and personal injury to you and the other boater.
  7. Medical coverage for bodily injury to your passengers. Accidents do happen. When you allow your friends and family on to your boat and let them use your PWCs and other recreational equipment, you are responsible for their safety.
  8. Weather damage to your boat can be severe. Storms can destroy a boat, whether you are out on the water or moored to shore. Boat insurance can help you with bad weather boat repairs.

Make sure you have boat insurance before launching your boat. Inherent risks have greatly increased as more and more people head to the open waters.

Boat Insurance: Boat Insurance Rates

Boat Insurance: Why Have Boat Insurance?

Boat insurance rates are affordable and can help you get your boat back in the water. Pleasure boat insurance has the lowest rates; yacht and personal watercraft (PWC) rates are higher. Pleasure boat insurance can be combined with your home and vehicle insurance, bringing down the rates of all your policies. A very basic pleasure boat policy can have a premium as low as $200 per year. You can increase your coverage and decrease your premium in many ways because your boat insurance rate is based on a wide variety of factors:

  1. If the length of your boat is more than 27 feet, your boat insurance will increase.
  2. If your boat can go faster than 50 miles per hour, you will pay more.
  3. The age and condition of your boat will impact your insurance.
  4. A new boat owner will have higher insurance rates than an experienced boat owner. However, you can reduce your rate if you have an excellent driving record and by attending boat safety courses.
  5. Where you plan to use your boat will affect your insurance rate.
  6. Most marinas insist on boats carrying a minimum of $300,000 in insurance before you can use their facilities. Confirm your marina’s requirements before purchasing your boat insurance.
  7. A high deductible means a lower premium. Pleasure boat insurance and can range from $100 to $500 or from one percent to three percent of your boat’s value. A deductible is usually required; however some insurers will waive your deductible if your boat is a total loss.

There is a wide range of options you can add to your boat insurance that will increase your premium. Options to be considered include needs such as towing, repairs, damage to your boat’s trailer, motor and equipment, liability and medical, coverage for unlicensed operators, weather, storage and transportation. These varying conditions need to be weighed against replacement costs and the level of risk taken by you and your passengers. Take some time to decide before you hit the water so you can enjoy your boating worry-free.

Boat Insurance Directory
Boat Insurance Directory

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