Types of Boat Insurance

Your boat offers a fun and adventurous way to travel the world’s waterways. However, like all vehicles, boats may include many risks and exposures and be subject to various perils and hazards. Furthermore, boats often represent significant financial investments, meaning that even a single accident or other incident could have devastating consequences. Fortunately, acquiring and maintaining adequate loss control measures, such as boat insurance, can provide financial security for you and your vessel.

How Does Boat Insurance Work?

Like many types of insurance, boat insurance policies represent a contractual agreement between you and your insurance company. In exchange for your regular premiums, your insurance company agrees to provide financial assistance for covered incidents involving your watercraft up to your policy’s limits, minus any deductibles.

What Are the Different Types of Boat Insurance Coverage?

The capabilities, limitations and other details of your boat insurance policy may vary significantly. Like standard auto insurance you might acquire for your car, boat insurance can often be customized to suit your unique circumstances, including needs, preferences and budget. Several common components may be advisable to include in your policy, such as the following:

• Bodily injury liability coverage—This part of your boat insurance may render financial aid if you are at fault for an accident that harms another person, such as a fellow sailor or pedestrian.
• Property damage liability coverage—This coverage may help pay for third-party property damage for which you are responsible, such as if you crash into another vessel or building.
• Collision coverage—If your own vessel is damaged in a collision with another boat or stationary object, such as a building or pier, this coverage may help pay for repair and replacement costs.
• Comprehensive coverage—This component of boat insurance may compensate you for damages sustained by noncollision incidents, such as fires, severe weather and crime.
• Medical payments coverage—This coverage may help pay for medical expenses if you or your passengers are injured in an accident on your boat regardless of who was at fault.
• Uninsured/underinsured watercraft coverage—If another party is at fault for your losses but lacks adequate insurance, this coverage may make up for their deficiency.
• Personal possessions coverage—This coverage may help pay for losses involving the contents of your vessel.

Get the Right Coverage

At Don Atwell and Associates, our dedicated team proudly serves individuals, families and businesses throughout the southwestern United States. We will work with you to assess your boat insurance needs, identify available options and assemble optimal policies. Visit our website or call 972-291-2904 to learn more or receive a personalized quote today.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.