When you own a boat, it’s important to make sure that your investment is properly protected. Boat insurance can provide financial protection in an accident or other unforeseen circumstance. But before you purchase boat insurance coverage, there are some essential things to know and understand about the different types of coverage available. Knowing what type of coverage best suits your needs will ensure adequate protection for yourself and your vessel while on the water.
Know what’s covered and excluded in your policy.
The types of coverage available for boat insurance vary depending on the policy. Generally speaking, the most basic policies will include liability coverage, which pays for property damage and bodily injury caused by your boat. Other types of coverage can include protection from fire or theft, as well as medical payments or uninsured boater coverage in case you are involved in an accident with an uninsured boat. It’s important to read your policy’s fine print and understand what is covered before you purchase coverage.
It’s equally important to be aware of what your policy does not cover. Generally, boat insurance policies do not include coverage for mechanical failure or regular maintenance costs such as oil changes or tune-ups. Additionally, most policies exclude coverage for damage caused by wear and tear and normal deterioration of the boat.
Factors to consider when selecting your coverage
Several factors need to be considered when selecting the right type of coverage for you, such as your location, type of boat, value, and usage. For example, suppose you are located in an area prone to natural disasters such as hurricanes or floods. In that case, you’ll want to make sure your policy includes coverage for those events. Additionally, the type of boat you own and where it is used can impact what kind of coverage you need — this includes its value and whether it is used for sporting, fishing, or recreation. You’ll need to talk to your agent to help determine the correct insurable value of your watercraft.
Once you’ve determined the type of coverage you need and considered the factors above, it’s time to determine how much protection you should get. Generally speaking, boat liability insurance policies are sold in increments of $1 million, so be sure to get adequate coverage for your needs. The last thing you want is to find out after an accident that your policy did not provide the level of protection you thought it did.
By taking the time to understand what boat insurance covers and how much coverage you need, you can ensure that you are properly protected in case of an unfortunate event. With the right policy in place, you can have peace of mind that your vessel and financial interests are safe while out on the water.
For more information about boat insurance or to get a free quote, contact First Beaches Insurance today.