Choosing the Right Boat Insurance

Many people enjoy the pleasures of boating, and for those who own their own boat, getting the right boat Insurance to protect their investment is very important.

Accidents, while boating can be expensive in many cases and getting good at boat insurance, will make sure that if there is something happens to your boat, you will be able to receive a payment to replace or repair your boat as necessary. Boat insurance has a number of rules and regulations that govern it, and in many cases, it is required.

 

What is Boat Insurance and What Does it Cover?

Boat insurance basically covers loss or damage to your watercraft in the event of accidents on the water or theft, or even fire in some cases, depending on the coverage you have.

Most motorized boats such as pontoon boats, paddle boats, fishing boats, leisure craft, and yachts are covered by standard insurance policies. Motorboat insurance doesn’t cover small watercraft or jet skis, although you can find some homeowners policies that will protect you. In this case, you may be able to have additional special endorsements or specialized coverage.

Boat insurance policies feature a wide variety of different options and may include some of the following depending on the policy you choose and what you are willing to pay:

• Comprehensive policies cover just about every aspect of potential loss or damage to your watercraft that you could experience, including vandalism or damages other than a collision. These policies can be custom-tailored to include items such as hurricanes or engine damage
• Property Damage Liability. This insurance policy option includes coverage for damage you may cause to somebody else’s boat or their property
• Collision Damage. This type of policy can cover replacement or repair of your boat in the event of the collision. Usually, it does not include wreck clean up unless this is added to your policy.
• Bodily Injury Liability. This auction will cover the bodily injury that you cause to someone and all the legal and financial responsibility for such injury
• Additional Options. Some other options are available covering such items as damages or injuries from boaters that are uninsured or underinsured, all medical payments, oil spills, damage from fishing equipment, and more

Boating insurance typically covers the passengers on the boat and in the victims’ boat in many policies. It is usually pretty standard practice for a boat insurance policy to include passengers as part of the policy coverage, but you should check your individual carrier If this is an area of concern for you.

 

How Boat Insurance Works and What it Costs

Unlike automobile insurance, boat insurance usually relies on a fault basis.  If you were to get into an accident with another boater and there was damage to each other’s property or injury, the regulations governing boat insurance would you determine the settlement in the following manner:

• If the other party was at fault for the accident, the other boater’s coverage would be the one to pay for damages or loss, up to the limits provided for by the other parties’ policy
• If you were the one at fault in the accident, your insurance company Beat would be the one to pay for the damages or loss incurred by both parties
• If the other voter was at fault for the accident and was uninsured or underinsured, a separate policy option on your policy could cover the cost of damages or loss if you have that option in place

 

A Few Different Options for Boat Insurance

There are a number of reputable boat insurance companies on the marketplace today that offered exceptionally comprehensive policies to the General Public. Let’s take a look at three of the major offerings available here:

• You can get a progressive quote online or on the phone in minutes.
• One of the leading insurance companies.
• This company deals with only boats.

When it is Required to Get Boat Insurance

Boat insurance isn’t always required everywhere but it is mandatory in many states.  Many financial institutions that lend money to people to buy watercraft require boat insurance on the watercraft that is purchased in order to protect the investment of the loan.

In addition, many marinas in docking areas require that you have insurance in place in order to dock your boat in that location.

How Much Boat Insurance Should I Get?

When you are operating a boat, you should keep your safety and the safety of your passengers in mind at all times. And, as far as boat insurance goes you should also keep both you, your passengers, and other boaters protected with a healthy amount of coverage as well.

It is recommended that you carry at least 1 million dollars of insurance policy coverage if possible, but you should have a bare minimum of $10,000 in coverage in place no matter what.

Based on the value of your boat and the potential damage amount, you should carry enough insurance to cover repair or replacement cost in the event of accidents or fire.  The more comprehensive the policy is the better off you will be if the worst happens, and it is far better to be prepared than unprepared when it comes to boat insurance.

Photo credit to Boat Ed