What to Know about Boat Insurance.

Having the right boat insurance policy

There is no secret that owning a boat comes with a ton of wonderful memories and trips out on the water. However, with all the fun comes a certain amount of risk in owning and operating a boat. Having the right boat insurance policy in place can help alleviate some of those concerns and allow an owner to breathe a little easier. While boat insurance is the most common term used by customers when seeking coverage, there are several categories in addition to boat insurance that fall under the category of marine insurance. Those include yacht insurance, sailboat insurance, dinghy insurance, boat clubs, boat and PWC rental insurance, and Professional marine insurance

Boat insurance provides financial protection from many of the risks that come with owning and operating a boat. From injuries to damage, boat insurance helps transfer some of the risk and control cost. While safety is paramount, accidents on and off the water do happen, and boat insurance can help lessen the financial burden.

Below are some quick tips for Boat Insurance

Not all Boat policies are created equal

Homeowners insurance will not cover your boat unless you have a very small boat. And if you think your Homeowners policy might cover you, you will need to contact your agent to make sure you do not need any special coverages added. Each Carrier has their own rules related to size restrictions, so be sure to find out what coverages your particular boat's needs.

Using an insurance professional when considering which type of policy to purchase can make a big difference, in both cost and policy language. An agent can assist you in making the right choice and understanding what is and is not covered in your policy. For example, whether you should choose replacement cost or actual cash value in the event of a loss, or whether other people can drive your boat or not.

Policies do not come fully complete. There are a multitude of optional coverages to consider. From fuel spill liability to varying amounts of bodily injury limits. There are a lot of ways policies can be tailored to satisfy your boat insurance needs. Managing your risk begins understanding where it begins, and an experienced agent is a great place to start.

So how do you know how much it is going to cost?

Premiums are derived from a number of factors. Some of which include type of body of water and location, size of boat, horsepower, if you have been formally trained or certified, and if you have a good driving record. There are a number of ways of controlling cost in addition to these rating factors. A few of them include packaging your policies with a certain carrier, changing your deductibles, and adjusting the use based on the season. A good agent should go through all possible discounts and uses to help find the best value for the client.

What are some potential gaps and additional coverage options?

While most of your best memories with your boat will come spent on the water, most boats spend the majority of the year out of it. Generally, when a boat is not in the water, many types of loss are not covered by your marine policy! You will want to make sure that your other existing policies are properly setup to provide coverage at those times. For example, if your boat is hitched to your vehicle, it likely is covered by your auto policy. For those times it is parked at your house, your homeowners' policy will often take precedent over the boat insurance for liability claims. It is very important to make sure your entire insurance package solution coincides to protect you with consistent limits. Make sure you speak with your agent to understand how each policy line will cover your boat at different times.

At the end of the day, boat insurance is a smart investment. Boats are meant to be fun, and with a little safety and a good insurance policy, it will be easy to enjoy yourself out on the water. An independent insurance agent is an excellent resource for assisting you in choosing your coverage, limits and comparing quotes from different insurers.