Power Boat Insurance
Fast drive!Whether you’re cruising the beautiful Intercoastal Waterway or enjoying the Lake Michigan water glisten in the sun, the peace of mind that good powerboat insurance brings needs to be there with you.
Exclusions can differ so much between insurance companies that you must compare, but here are some common ones:
- Physical Damage Exclusions- defective machinery or damage to boat caused by machinery or damage from animals to your boat
- Other Watercraft- If have a dinghy on your boat, it usually needs to be on a separate policy
Following are the 3 coverages you’ll see:
- Bodily Injury Liability- Expenses paid for injuries that you’ve caused to others
- Property Damage Liability- Pays damages from damages you’ve caused to property other than yours
- Physical Damage- This covers damage to your own boat and its trailer
Unlike other boating insurance, sailboat insurance is mandatory in the United States. This means it’s illegal to sail anywhere in the United States without insurance.
Most sailboat policies include the following coverages:
- Physical Damage- This coverage pays to repair or replace your boat, motor or boat trailer in the event of damage by windstorm, vandalism, theft, lightning or fire
- Liability- This coverage will protect you if you cause injury to someone other than a family member or to property other than your own
Sailboat Coverage Exclusions
Items not normally covered include jet skis, kit boats, ski boats, high performance boats, fishing and scuba gear, personal items, TV’s, cameras and video equipment, wear and tear, deterioration, dents, scratches and manufacturing defects.
House Boat Insurance
Regarding insurance, houseboats are classified with cabin cruisers, party boats and ski boats as pleasure boats. So, usually only marine insurer’s handle houseboat coverage.
Houseboat insurance premiums will be determined by the size and age of your boat, the type of craft, where it will be moored and the horsepower of the vessel. Your premium costs can vary from $10 to $30 per foot.
Standard watercraft liability coverage includes protection if damage occurs to other people or other property when you’re operating the houseboat.
Physical damage coverage will pay for covered damage to your boat within the policy limits.
Optional coverages can include medical payments, towing insurance, theft, vandalism, sinking, capsizing, and others. Expect an additional premium for these coverages.
Houseboat Insurance- Questions
Ask these questions when purchasing houseboat insurance:
- When are marine surveys expected?
- What are the territorial limits?
- What dates are being used for the lay-up period (winter storage)?
- What are the liability types and amount?
- What are the deductibles?
- Will live aboard coverage be needed?
Personal Watercraft Insurance
Before you take your jet ski or waverunner out for a spin, you’ll want to have it insured with a separate personal watercraft policy. This will protect you, others and your vessel.
Insurance coverage for the protection of you and others includes bodily injury, property damage, medical payments, uninsured and underinsured boaters and guest passenger liability.
Physical damage to your watercraft includes theft, collision, vandalism and damage caused by uninsured and underinsured boaters.
Optional coverages can include trailer coverage, fishing gear coverage and on water towing.
Check with your state to see what liability is required. Also shop and compare policies carefully. Policy inclusions, exclusions, coverage limits and deductibles can differ widely between insurance companies.
Charter Boat Insurance
Charter boat insurance is based on having passengers on board. And the coverage is designed to get the vessel back to profitability as soon as possible in the event something happens to the boat.
There are 4 kinds of charter coverages:
- Full Time Charter- This is written on a commercial policy.
- Part time Charter- This is an endorsement to a yacht policy. The number of days chartering is done is usually limited to 10 to 20 days annually.
- Six-Pack Charters- This is the same as a full time charter with only 6 passengers allowed.
- Bareboat Charters- This is when a non-owner charters a vessel without a paid captain or owner on board.
Note: All vessels that carry more than 6 passengers must be certified by the Coast Guard. That’s because the Coast Guard allows only 6 guests for captained charters on non-certified vessels.
If you think you may in any type of charter situation with your boat, get the right charter coverage with a competent agent.
Bass Boat Insurance
As a fishing boat owner, you know the standard watercraft policy may not cover all of your specific needs. Bass boat insurance is for those who are serious about fishing.
Three Types of Bass Boat Policies
- An agreed upon value policy will pay the boat value listed in the policy.
- An actual cash value policy will pay market value in the event of a total loss.
- Liability only coverage only provides coverage if the bass boat causes damage to another person or other property.
Specific Fishing Boat Coverages
Following are some coverages that may be available for bass boat owners:
- Tournament fee reimbursement.
- Coverage for motor boats used by fishing guides.
- Replacement cost coverage for boating equipment.
- Towing assistance.
- More coverage for personal belongings and the trailer may sometimes be offered.
Check carefully with your agent to make sure you get the coverage you need. It can vary widely from carrier to carrier.
Wooden Boat Insurance
You may have to shop around to find an insurer willing to insure your wooden boat. Many of them were made over 25 years ago and may fall under the category of an antique or classic boat.
To be covered for all risks, the boat must be safely operational in the water.
Wooden boat insurance policies are usually written for an agreed value on the hull. They also include liability, uninsured/underinsured boater, medical payments and trailer coverage.
You can also purchase personal effects coverage, towing coverage and oil pollution coverage.
Shop carefully and really consider the proper limits you need to adequately insure your wooden boat.
Fishing Boat Insurance
If you own a motor boat used primarily for fishing activity, it may be wise to obtain insurance that specifically addresses your fishing needs. Some of the coverages that may be available include:
- Actual cash value or agreed upon value coverage for your boat, motor and boating equipment.
- Fishing equipment coverage.
- Tournament and fee reimbursement.
- Cruising area extensions.
- Medical payments.
- Full salvage assistance.
- Uninsured/underinsured boater protection.
- Liability protection for damage caused by you to others or other’s property.
- Personal effects coverage.
- Trailer coverage.
Fishing boat policies are offered by specialized marine insurers. Shop around for the most comprehensive coverage with the lowest premiums.
Jet Boat Insurance
Most jet boat policies are all risk. This means everything is covered unless it’s specifically excluded. For your jet boat you can usually find the following insurance coverages:
- Accidental damage to your boat in or out of the water
- Liability if someone is injured or property is damaged by your actions
- Actual cash value replacement at the time of loss
- Replacement cost coverage may also be covered on new vessels
Here are some items that are not covered:
- Any watercraft modified to improve performance
- Any operation of the craft from dusk to dawn
- Any operation by anyone without a driver’s license (exceptions may be made by endorsement)
- Any operation during layup period (exceptions may be made by endorsement)
Check carefully with your agent to make sure you’re getting the coverage you.
This insurance is written exclusively for the requirements of Mega-Yachts and their owners. In general, these are all risk policies with few exclusions.
Depending on the insurance company, these policies may include the following coverages:
- Liability Coverage for the captain and crew
- Electronics and Navigational Equipment
- Personal Liability Coverage for a live aboard captain and his/her family
- Oil and Fuel Spill Pollution Coverage
- Extended Navigation Limits
- Fine Arts Coverage
- Mechanical Breakdown
- Cargo Insurance
- Breach of Warranty
- Coral Reef Insurance
- Protection and Indemnity
- Agreed Value of your Vessel
- Towing to a Safe Harbor
Mega-Yacht Insurance is very specialized. It’s best to consult a proven expert in this field when purchasing insurance.
Pontoon Boat Insurance
Pontoon boats are basically rafts with a motor. They’re built to traverse slow moving lakes and rivers.
If you’ve financed your pontoon boat, you’ll need insurance. It’s a low cost way to make sure you and your lender are covered in the event of an accident.
Following is what’s covered with your pontoon boat insurance:
- Liability coverage will cover damage done to other people’s property by your boat.
- Bodily injury liability will cover you for injuries to another party that you caused.
- Physical damage covers damage to your boat.
- Comprehensive coverage covers damage to your boat caused by events and situations out of your control. This could include storms, hail, lightning and theft of the actual boat.
- Uninsured/Underinsured boat coverage, This will protect you if damage occurs to your boat by an uninsured or underinsured boater.
There are also optional coverages available for your pontoon boat policy. Ask your agent about all the specific coverages and learn about each one you choose.
Rental Boat Insurance
Rental boat insurance protects the boat and the renter for boat rental companies. Boats typically covered include:
- Personal Watercraft
- Fishing Boats
- Cabin Cruisers and more
Coverage includes protection for legal liability and protection for any damage to the rental watercraft.
Rental boat insurance coverage is provided at most locations like marinas, beaches, boat ramps, resort or and off water location.
Consider the coverage limits available for the watercraft being rented. Also, make sure you check if lay-up credit is available. Since most rental businesses are seasonal, you might be able to receive credit for the time your business is not operational.
Runabout Boat Insurance
Runabouts are day use motor boats used for recreational boating, fishing and waterskiing. They’re generally open bow boats meaning there’s seating available on the bow of the boat.
Three Major Runabout Boat Coverages
- Bodily Injury Liability- This is where you’re covered if your actions cause bodily injury to another.
- Property Damage Liability- If you cause damage to another’s property be it a boat, a dock or whatever, this will cover the damages.
- Physical Damage- This covers damage to your boat. The damage is paid according to agreed upon value of the boat, actual cash value or replacement cost (if available).
Replacement cost is the most expensive physical damage coverage.
You can also purchase optional coverages which could include:
- Personal effects
- Medical payments
- Uninsured/Underinsured motorist
Since offerings vary so much between carriers, shop around for runabout boat coverage.