Insurance for Boats Explained
Tooling around in your boat is for many the epitome of recreation and vacationing, but just one accident can turn a holiday into an ordeal. Good boat insurance can assist in making sure that you are fully protected financially from loss and even liability.
About Boat Insurance
Quality boat insurance protects you and your watercraft from claims taken out against you, whether on land or water. It can also provide ample coverage for the repair or even replacement of your boat. (Normally this form of insurance is meant for boats up to 26 feet in length- Larger vessels will likely require different coverage.) Also note that boat insurance coverage may often be suspended for a particular length of time- Generally duing times of non-use during the off-season.
When purchasing insurance for your boat, it is a smart to investigate what can be covered and what is not. Coverage is often provided for all types of boats, including sailboats, power boats, pontoon, yachts, personal watercraft, and even more.
How it Functions
Insurance for boats is often provided as a package, but there are extra options available. Coverage can be based upon ACV “actual cash value,” (minus any depreciation) or for “Agreed Amount Value” basis, which is a pre-determined amount agreed upon when the policy is bought. Keep in mind that a typical homeowner’s policy will often not include boat coverage. It can have minimal protection for very small boats lacking an engine or a small auxillary engine like one found a sailboat. Note that you may be add a boat policy to your auto or home insurance to save on “bundling.”
Different Kinds of Coverage Available
Standard insurance provides protection for many aspects of boat ownership, but it is important to also investigate some of the other options, such as wreckage removal and towing, as well as cleanup in the aftermath of an oil spill.
Standard coverage Items:
• Collision damage – Compensates for the repair or replacement of your boat.
• Property Damage Liability – Pays out for damages to other crafts, docks, or structures.
• Bodily Injury Liability – Compensation is available for medical expenses of those injured or killed, as well as any lost income, pain and suffering, and legal costs.
• Comprehensive – Damages to your own boat when not the result of an accident are covered by this and include theft, vandalism, fire, etc.
• Other coverage – Further optional coverage might be important for many who feel the need to protect expensive electronic and fishing tech, hurricanes, roadside assistance, and for your boat and injuries caused by other boaters who are either underinsured or lack coverage.
A quality boat insurance policy will allow for coverage for almost any type of loss. Mandated options will vary according to the state and special coverage may be required if you berth your boat in a harbor. Discounts are available which can help you save significantly on the cost of the coverage.