Owning and maintaining a boat can be quite expensive regardless of what state you live in. While boating is a common recreational activity for many Americans, some boat owners do not fully understand the importance of boat insurance. Well, we do not blame them. Getting boat insurance may seem like an odd thing to do. It is, in fact, similar to obtaining auto insurance for your vehicle.
What Does a Boat Insurance Cover?
Boat insurance is also known as watercraft insurance. Usually, it will cover most watercrafts that have motors. These include fishing boats, pontoon boats, yachts and paddle boats. Watercrafts such as kayaks and canoes are usually not covered.
Why Should You Get Boat Insurance?
One of the most common misconceptions that new boat owners have is that their home insurance extends to their boats. This is not the case. Your home insurance will only cover your home and you will have to get additional coverage for your watercraft.
Just as is the purpose of any insurance cover, boat insurance will protect your boat against any risk that may lead to loss or damage. Depending on what state you are in, the boat insurance coverage may or may not be standardized. A standardized coverage simply means that there are no variations whatsoever in the policy.
Types of Boat Insurance Coverage
Typically, boat insurance policies fall under three categories: liability cover, physical damage cover and medical payments coverage.
A liability cover protects the insured against any bodily and property damage that they cause while boating. A physical damage coverage will pay for loss or damage to your boat due to theft, collisions, vandalism, fire, lightning or storm. A medical payments coverage, on the other hand, will cover the medical bills incurred as a result of a boating accident.
A frequently asked questions among boat owners is whether or not their boats are covered when not in water. Well, they are but not by your boat insurance.
Suppose you are transporting your boat on a trailer. In such a case, the boat is covered by the auto insurance coverage on the trailer. However, it is limited to the terms of the policy and in the event of anything, the auto insurance coverage may not cover all the damages.
If your boat is damaged while parked on your property, your home insurance may partly pay for the damage. The cover may, however, not extend to items that were inside the boat.
Getting a boat insurance coverage is just as important as taking an insurance cover for your home or car. Get in touch with us to learn more about boat insurance or get coverage for your watercraft.