If you’ve recently bought a boat and you intend to use it this summer, you may consider whether you need boat insurance. Well, records show that over 4,000 boat accidents resulted in 55 million dollars of property damage in 2021. That’s nearly $14,000 an accident!
A boat accident can quickly get expensive, but buying boat insurance will protect you from unexpected costs. If you aren’t sure how to choose insurance for your boat, we’ve got you covered. Continue reading for everything you need to know about boat insurance.
As you see with many auto policies, boat insurance options come standard with physical damage and liability. These protect your boat from damage and you from liability in the case of injuring someone else. Other aspects that build a policy include personal property coverage, emergency towing, and basic medical.
While these cover the basics of a boat insurance policy, you may have specific scenarios that need coverage as well. Some lesser-known insurance features cover:
- Uninsured boaters
- Total salvage
- Fuel spills
- Consequential damages
- Hurricane haul-outs
- Boat trailers
Talk with your boat insurance provider when considering additional boat coverage for your policy.
There are different types of boat insurance for different types of boats. When looking at buying boat insurance, you’ll want to know which type of policy fits your vessel.
When you want to focus on covering physical damages done to your boat or to the property of others, consider looking into hull insurance. This coverage is beneficial in covering boat repairs and even pays the value of your boat in case of total loss.
If you prefer a broader plan that covers you from liability due to incidental damages such as towing or fuel spills, you might want third-party liability insurance. This is especially important to have when working with marina employees.
For all-encompassing insurance, investigate an all-risk policy. These policies cover every risk that isn’t specifically excluded from a plan. This often covers you for ice damage, reef damage, and pollution.
These policies cover the majority of boats, but those that own yachts or other luxury vessels may need additional, unique insurance. This boat club has more blogs on owning luxury boats that may help you determine what coverage you must have.
Many standard boat insurance policies typically range from $200 to $500 per year. There are several aspects of your boat that can influence this price, including:
- How your boat is used
- Your vehicle driving record
- The specs of your boat (year, make, and model)
- Region of the country
- Safety measures
These factors can influence the cost of your policy, even over 1,000 dollars a year. When comparing insurance costs, talk with your boat insurance provider to determine how to stay within your policy budget.
Having proper boat insurance can save you from unexpected costs and liability turmoil. For more information on buying boat insurance, as well as other great ideas on how to spend your summer, check out our Lifestyle section.