Your Boat insurance Information

Many boaters cover their boat insurance needs by declaring the boat on their homeowner’s insurance policy. This may or may not be a good idea!

Having your boat under the ‘Umbrella’ coverage’s of your homeowner’s policy tends to provide you the security and safety of a large liability policy normally associated with a homeowner’s policy. It affords you a degree of ‘Cross Risk Insurance’ where the risks associated with the boat are so different than other, homeowner’s risks that the likelihood of claims from more than one risk hitting simultaneously are very low. If you are in the enviable position of having very significant assets to protect, it may be a good idea to have a separate boat owner’s policy as well as having the liabilities related to your boat declared on your homeowner’s policy.

Standard property and casualty (P & C) insurance companies that provide most of the homeowner’s coverage tend to not understand the marine issues, values and considerations of a boatowner. Their claims adjusters, for example, are typically not aware of the many intricacies related to repairing or replacing a damaged or lost boat. Most specifically, they tend not to understand the damages caused as a consequence of the sinking of a recreational boat. There can be very serious and expensive electrical and mechanical problems resulting from a boat being submerged, many of which won’t show up for quite a while after the boat has been dried out, freshened up and restored to service. Electrical contacts can corrode and cause short circuits as well as exacerbating any electrolysis issues in the boat. These are very subtle and normally not understood by adjusters without marine background or experience. Marine insurers, on the other hand, deal with boating issues regularly and their adjusters are savvy to the problems and values of the boat business. Many marine insurers use the services of marine appraisers to do their claims adjustment work. They are true professionals who are dedicated to the marine industry and serve the boat owner well.

In my experience as a marina operator, there were several occasions in which, for one reason or another, one of our customer’s boats was damaged or sunk by collision, carelessness or nature. Forgetting to put the plug in before launching was number one on the list. At times, a customer would leave his/her boat tied to a dock without a cover and when enough rain entered the boat to cause the bilge pump to run long enough to drain the battery, the boat would then fill up and sink. When the P & C insurance adjuster would come to assess the damage, they would only see the water damage to the upholstery, etc. and would value the cosmetic items that were lost or damaged. We were never able to convince them of the hidden electrical and mechanical and fuel system damages involved and there frequently was bitter disputes between the boat owner and the insurance company for months before resultion.

Conversely, whenever an adjuster from a marine insurer would come to assess the damage, they would first evaluate the systemic electrical and mechanical issues and often gave us the authority, on the spot, to perform the extensive electrical system diagnostics, hull evaluation, and mechanical item replacement (all fluids, filters, anodes, etc). We never knew of a dispute between the boatowner and the marine insurer.

Another issue that few people consider is the insurance of the boat while it is stored and not operational. Most people assume that the insurance of the marina or boat storage facility will cover their boat while it is stored there. That is only partially true. If the marina operator were to drop your boat or otherwise cause damage by negligence, their liability insurance would surely cover this. On the other hand, if a hurricane, fire, flood, or other natural disaster were to cause damage to the boat while it is stored, the insurance of the boatowner would be responsible. Many boatowners who lost their boats when Hurricane Katrina ripped through the Gulf of Mexico were very surprised to learn that the marina’s insurance did not cover their boats. Many were a total uninsured loss.

Some marine insurers even offer a discounted rate for times of prolonged storage vs the assumption that the boat is operated year round. Many times a boat is really only used for 5-6 months of the year during the summer season and then it is stored at a marina or in the garage for the remainder of the year. You might check with your marine insurer to see if they offer a notification system wherein you can report the boat in a storage status and receive a reduction in your liability rate and premium as a result.

Be sure to investigate the cost and coverage’s of boat insurance offered by marine insurers and compare those to those of your homeowner’s policy before singing up. Be certain to ask about the marine qualifications of the adjusters used by the carrier. This will be critical should you happen to have a claim.

Like most things, it pays to do your homework!

The main reason to get insurance coverage for you boat is to prepare yourself for the unexpected. Accidents are unpredictable and any boat is liable to have them. Damages that occur to the boat or to any items on it during such accidents, may be covered by your insurance. On the other hand, if you were the cause of the accident to another person’s boat, you’ll need insurance to help you pay for the damages caused buy you without causing any additional damages to your bank account. You also have to keep in mind the possibility of needing medical insurance for you or anyone who might be with you on the boat. This coverage is complete but you’ll only have to pay a premium to get it.

Getting your boat insured will also give you freedom when it comes to docking at many marinas. This is because some of these marinas insist that your boat be insured before you use their docks. This is logical, since boats are usually docked very close to one another and the risk of damages occurring to your boat or the neighboring boat while coming or going is quite high. Carry the proof of insurance with you to show it to the marinas which request it. Some marinas actually sell insurance themselves, but you’ll have to be very careful when reading the policy they offer.

An additional reason to get insurance is that you can never predict when natural disasters may hit. You boat is at risk of damage by storms, hurricanes, fires and earthquakes, all of which are unpreventable. If you reside in an area characterized by the frequent occurrence of such disasters, buying specific insurance for this cause may be necessary.. If you are not necessarily required to buy such coverage, buying a smaller amount is also an option so that the boat insurance may at least cover the price of a new boat in case of the occurrence of an unexpected natural disaster.

Finally, it’s also necessary to insure against man-made disasters in the form of boat theft. Boats are commonly stolen from marinas or even from private docks and you need to protect yourself against this. There’s also water damage to take into consideration. Excessive damage caused by water exposure can affect the external surface of the boat which may cause it to take on water or even end up sinking. In case of these complications, you’ll have to buy replacements for the internal parts such as upholstery, mechanical pieces as well as flooring. These purchases can further add to your expenses, if you’re not insured.

Remember though, that you’re trying to save money as well as protect yourself. That’s why when buying an insurance policy you have to read the policy carefully and choose wisely in order to truly reap the benefits of insurance.

Most people use their boat in the case of fishing in ponds, lakes, or other small bodies of water. But when they want to have under your boat in large bodies of water, make sure you have the insurance needed to pay for the trailer, water damage or other incidents that may occur. Bass boat insurance, which includes towing or removal of water is important, as many marinas and rescue companies charge by the hour. This means that while the ship can be saved, we owe a lot of money. Car Towing services are similar to the trailer. After including this service in the boat under your insurance policy is a good idea.

Boat insurance including certain parts of the vessel is also important and should be detailed in your policy. This is because often only specific parts of a malfunction and will need to be replaced. Under your boat insurance policy should cover the parts including the engine, rudders, rigs, and elsewhere. Take photos of these pieces after having ensured them and storing them in the boat will help your claim to be processed faster. This will help the players may make recommendations following the inspection of the damage.

Bass boat insurance may be needed in certain areas where the fish. If you are thinking about taking the boat on the highway or other roads, opting for insurance to cover this type of travel. Owners of fishing boats like to try new areas when fishing. If you are involved in a car accident or unhitched the boat is damaged and you will be covered. This type of insurance is necessary when you want to transport your boat. The majority of car insurance policies do not cover items that are being towed.

Medical insurance for you and that will be on the boat which may also be needed depending on where you live. If optional, consider adding to your bass boat insurance. In case you have to abandon ship and swim to board, or if someone suffers an injury, you will be able to cover their medical expenses may include travel by ambulance, medications, and emergency procedures. Being safe is an important part of boat ownership.

Bass boat insurance can be found all states and most ship through insurance companies. If you are buying a new boat from a dealer who can offer an insurance policy. You can also find companies online or asking friends and family. Buy your insurance immediately after buying a boat, or before you purchase it will be covered in case you need to transport the boat home.