Boat insurance is a unique financial product that is unlike any other form of coverage. Whether you take your boat to the lake once a year to fish or are looking to travel along the coastline this summer, it is important that you have the correct insurance policy in place to protect your own finances, your boat, and your passengers.
Which Boat Owners Need Coverage?
One of the most common mistakes that boat owners make is assuming that one of their other policies will cover their boat. While some home and car policies can be upgraded to include a boat, the vast majority of policies state that they do not cover any watercraft that has an engine. No matter the size of your boat, how often you use it, or where you use it, it is always a good idea to have at least basic coverage before ever getting out on the water.
What Is Covered
Every policy is slightly different, but boat insurance typically covers any damage to the boat itself, your belongings that are on the boat, and the trailer that is used to transport the boat. This includes the engine, sails, navigational machinery, and furnishings. These policies should also cover medical expenses if injuries take place on the boat or from a boating accident. A general liability clause might be included as well, and this will protect the owner from any legal claims due to accidents and injuries.
Finding the Best Policy
Boat owners will need to speak with their insurance provider about exactly what they would like covered and what they can do to keep their premiums down. Some of the variables that will be taken into consideration include where the boat will be used, where it will be stored, its length, the size of the engine, and its safety features. Boats that are only used seasonally and meet U.S. Coast Guard safety regulations will be the cheapest to insurance. Owners should also speak with their insurance provider about any additional coverage that they might need in the future. These policies can be extended to cover everything from fuel spills to hurricane damage.