Boat liability insurance protects you from legal liability from accidents which result from the maintenance, use, or ownership of your boat or yacht. This coverage is broad, covering the boat, its machinery and auxiliary equipment, outboard motors, boat trailer and personal property. Boat insurance programs are normally designed to cover boats up to 26′ in overall length. If the size of your vessel is greater than 26 feet, it’s generally considered a “yacht”, and therefore qualifies for yacht insurance.
Every year, you will have to pay the insurance company a specific premium based on the calculation made on the value of your boat and the amount of coverage you require. A Boat Insurance policy can provide physical damage coverage on an Actual Cash Value or an Agreed Amount Value basis. Both types of boat insurance policies specific coverage for your boat.
- Actual Cash Value policies pay for Replacement Costs less depreciation at the time of the loss. In the event of a total loss, insurers will refer to used boat pricing guides and other resources are used to determine the approximate market value of your vessel.
- Agreed Amount Value policies mean you and the insurance company have mutually agreed on the value of your vessel. In the event of a total loss you will be reimbursed that amount.
The Liability section of the policy provides protection if you are legally responsible for damages to property or injury to someone other than yourself or a family member. Boat Insurance liability provides protection if you are sued as a result of hitting another boat, or if someone is hurt onboard your vessel because of your negligence. This coverage is usually offered in increments of $100,000 up to $1 million.
- The Medical Payments section of the policy provides protection for reasonable medical costs should someone be injured while on, or entering or leaving your boat.
- The Uninsured Boat Owners section of the policy provides coverage for injuries caused by an accident that you are entitled to recover from the owner or operator of an uninsured boat or “hit-and-run” boat.
- Commercial Towing and Assistance enables you to be reimbursed for the reasonable costs incurred when you break down out at sea and need a commercial tow to get back to land.
Below are some ways to take advantage of Boat Insurance discounts from many carriers:
- Completing a boat safety course
- Owning multiple boat coverage policies
- Being a claim-free boater
- Using diesel fuel
- Combining your boat insurance with auto insurance or other policies under one carrier
For more information on boat and yacht insurance, or to talk to an experienced agent about the different coverage options, contact a Copeland Insurance Group agent today.