Boat Insurance

February 11, 2012 by  
Filed under General

The Five Things You Must Know Before Buying Boat Insurance

If you own a boat, for sure you need watercraft coverage.
People don’t realize that they need coverage for their boats. Some don’t even realize that boat coverage is available. Many know it is available, and they think about it – they just decide that this type of coverage isn’t something that they need. In most cases, they are wrong! You do need boat insurance, and you need to know what you are looking for when you start shopping for the coverage.

Here are five things you must know before buying boat insurance.

1. Many states now require you to carry watercraft liability coverage.
This coverage will should protect you against any damage that you do to other people or other people’s property with your boat. The insurance should also cover you for losses due to theft, vandalism, storms, fire, capsizing, stranding, sinking, explosion, and collision. Call your insurance agent to find out what your state requires, and what their boat insurance policies cover.

2. There is optional coverage that you should strongly consider.
Wreckage Removal coverage is one type of coverage that you should consider. In most places, removal of sunken or wrecked vessels is mandatory, and it is the responsibility of the owner to pay for this removal – which can be quite expensive. This optional coverage will cover those costs. You should also strongly consider coverage that will pay for repairs and mechanical failure, as well as coverage that will pay towing charges should you need to be towed back to shore.

3. Not all insurance companies will cover all operators of the boat that you are insuring.
It is vitally important that you ask about this. Find out who is covered when operating the boat. Some insurance companies will only cover the boat owner as the operator for the rate that was quoted. The rate may go up to cover operators other than the actual owner. Make sure that the insurance agent clearly defines who is covered to operate the boat!

4. Most Boat insurance companies that cover watercrafts offer discounts to people who have taken boat safety courses.
However, each insurance company will only offer the discount for specific courses. Find out which course your Boat insurance company will honor, and make sure you take and pass the course! This will save you quite a bit on your premiums – and you need the safety course anyway! Find out what other discounts you may be eligible for as well. Most Boat insurance companies won’t tell you about the discounts unless you specifically ask about them.

5. You will typically get the best rate from the Boat insurance company that insures your automobiles and your home – but not in all cases.
When you are shopping for Boat insurance, call your current Boat insurance company first – but then check with other insurance companies to see what kind of rate you can get. While getting quotes online is very convenient, you should avoid actually purchasing your coverage online. Call and talk to an agent personally instead, or have them call you. Remember that Boat insurance companies are in competition with each other, and they will work with you to get your business. Let each one know about the lowest rate that you have been quoted, and ask them if they can do better!

Before shopping for Boat insurance, think about the investment that you have made in your boat.
Boats are not cheap! Repairing and replacing boats is not cheap either. Make sure that you get the coverage that you need to protect you against all losses involving your boat!

Boat Insurance 1Boat Insurance is Important for such situations

What Are The Different Types Of Boat Insurance Available?

When shopping for boat insurance, you may be surprised to find that there are different types of boat insurance policies available. Many Boat insurance companies will only offer one standard watercraft liability coverage policy, while others will offer optional coverage that you can purchase. In fact, if you have financed your boat, your lender may require you to carry specific optional coverage. There are several different types of coverage that you can add to your policy.

The standard Boat insurance is the watercraft liability insurance coverage which is required by many states. This insurance will cover you in the event that damage is caused to another person or another person’s property by actions taken with your boat – whether it is during transport or on the water. Again, many states now require this liability coverage, and each state has its own requirements as to how much liability coverage you need to have. Check with your insurance agent to find out what you are required to have.

Watercraft medical payments coverage may also be required in your state. This coverage pays the medical expenses, up to a specific amount, for you and any occupant of your boat which results from a covered accident. Even if this Boat insurance is not required, you should definitely consider it. Medical expenses are quite high. If you think that you cannot afford this coverage, think about whether or not you could afford the medical bills you will have in the event of an accident without the coverage.

Wreck removal and pollution coverage should also be strongly considered. By law, if your vessel is wrecked or sinks, you will be required to remove it. If oil or gas leaks into the lake, river, or ocean, you will be fined – just like the big oil companies are fined when they have spills in the ocean! These fines, as well as the wreckage removal and spill cleanup can be quite expensive without this coverage. Don’t make the mistake of thinking that something like this won’t happen to you!
You should insure yourself against uninsured watercrafts as well. This works just like uninsured motorist Boat insurance when you purchase coverage for your automobiles. If someone who does not have Boat insurance – or adequate coverage – collides with your boat on the water, your Boat insurance will pay for the replacement of your boat, or for the needed repairs.

Towing and assistance coverage should also be strongly considered. Getting towed back to shore often costs more than having a car towed to a garage! Especially if you are out in the middle of the ocean! You should also ask about coverage to recover your boat and protect it from further damage after a mechanical failure or an accident. These costs do indeed add up. Again, don’t make the mistake of thinking that nothing bad will happen, and don’t make the mistake of thinking that you cannot afford the coverage. If you can’t afford the coverage, you certainly won’t be able to afford these expenses!
Most Boat insurance policies should cover your boat, the motor, and the trailer used to transport the boat. Liability coverage isn’t the only type of coverage that you need in most cases. You should make sure that you protect your boat, just as you protect your automobiles with coverage that includes theft and vandalism, as well as losses caused by storms, fire, sinking, capsizing, stranding, collision, and even explosions. Talk with your Boat insurance agent to find out what type of insurance is required by your state and what type of coverage they offer. Also talk with your boat dealer and lender to find out what type of coverage you are required to have as well.

Boat Insurance

Boat Insurance


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