Top Boat Insurance Of 2024

Owning a boat offers many enjoyable activities like sailing, fishing, and visiting secluded beaches. However, issues like collisions, capsizing, theft, fire, and storms can dampen your boating experience.

How to Find the Best Boat Insurance

Just as sailboats differ from pontoons, boat insurance prices vary among providers. To find the best rate, compare quotes from multiple insurance companies.

Some insurers offer free online quotes, but not all do. In such cases, you can call the insurance company or work with an independent insurance agent.

When shopping for boat insurance, ask about potential discounts, such as:

• Multi-policy discount: Save money by bundling multiple policies, like boat and car insurance, with the same company.
• Boat safety discount: Get a discount if you’ve completed an approved boater safety course.
• Diesel-powered boat: Diesel boats are often considered safer than gasoline-powered ones, which may earn you a discount.
• Boat safety features: Discounts may be available if your boat has safety features like fire suppression systems and Coast Guard-approved fire extinguishers.
• Payment discounts: Save by paying your annual premium in full, opting for paperless billing, or setting up auto-pay.
• Claims-free: You may qualify for a discount if you haven’t filed a claim in the last two years.

What Does Boat Insurance Cover?

Hull and equipment coverage is a key part of boat insurance. It covers damage to your boat and its dinghy, including theft and vandalism.

Boating liability insurance is another essential component. This covers situations where you’re legally responsible for injuries or property damage to others due to the use, ownership, or maintenance of your boat. This coverage also applies to others operating your boat with your permission.

Additional types of boat insurance include:

• Personal effects coverage: This covers the replacement of your belongings if they are damaged while on the boat, being loaded onto or off the boat, or stored in a dock box near the boat.
• Medical payments coverage: This pays the medical bills for anyone injured while on your boat or boarding or leaving it.
• Uninsured boater coverage: This covers medical expenses if you’re injured in an accident with an uninsured boat.
• Towing and assistance: This is a standard part of most boat insurance policies and covers costs related to towing your boat if it becomes disabled.
• Boat trailer insurance: This covers damage to or theft of your boat trailer.
• Fuel and other spill liability insurance: This covers the costs of containing and cleaning up a spill, as well as any property damage caused by the spill. It also covers legal defense costs if you’re sued over a spill (the insurance company may select the lawyer).

Insurance Factors

When insurers decide whether to offer a policy and at what price, they consider several factors. Almost any vessel can be insured, but the cost will vary. To ensure you get a policy that suits your needs, consider the following:

• Age of the Boat
• Length
• Value
• Speed/Horsepower
• Condition: Does it meet U.S. Coast Guard standards from when it was built?
• Primary Residence: Is the boat used as a primary residence?
• Type: Inboard, outboard, utility, cruiser, bass boat, saltwater fishing boat, performance boat, etc.
• Homemade: Boats without a serial number can be tricky, but many kits are okay.
• Houseboats without motors
• Ownership: More than two owners
• Where It Will Operate: Ocean, lakes, bays, rivers, Great Lakes

How to Get a Boat Insurance Quote

To get boat insurance quotes, start by checking with your current auto or homeowners insurance company. You may be eligible for a bundling discount if you buy boat insurance from the same provider.

While some insurance companies offer online quotes, they might not always be available. To explore more options, consider contacting an independent agent who can provide quotes from multiple insurers.

Before requesting quotes, think about the coverage you need and gather specific information about your boat. This helps the insurance company provide an accurate quote. Also, consider any optional coverages you might want, such as towing assistance.

What Do I Need for a Boat Insurance Application?

When applying for boat insurance, you’ll need to provide basic information about yourself and your boat. You may also encounter questions like:

• Have you had any boating or automobile insurance claims, accidents, or losses in the past three years?
• List any automobile or boating violations by the owner in the last three years.
• Is the boat currently damaged, or has it been damaged in the past?
• What is the largest boat you have owned and operated?
• Has the boat been modified?
• Has the owner taken any training courses, such as a state-certified safety course?

Providing this information helps ensure that the insurance company can offer the most accurate and appropriate coverage options for your needs.

Types of Boat Insurance

There are two main types of boat insurance: “agreed value” and “actual cash value.” The key difference is how depreciation is handled.

• Agreed Value: This policy covers the boat based on its value when the policy was written. It usually costs more upfront but doesn’t account for depreciation in the event of a total loss (though some partial losses may be depreciated).
• Actual Cash Value: This policy costs less upfront but factors in depreciation. It only pays up to the actual cash value of the boat at the time of a total or partial loss. As your boat ages, your insurer may require an actual cash value policy, which often offers significant savings.

Insurance Claims

While it’s best to avoid having to make a claim, being prepared is important. Although you’re not required to carry proof of insurance on your boat, it’s wise to keep claim information accessible in case of an emergency. When shopping for policies, ask about the claims process—ideally, it should be quick and straightforward. Also, check if your agent or representative will be available to assist with post-claim issues like arranging towing or salvage, rather than just providing a payout.

Shopping for Boat Insurance

Start by gathering information. Ask your boating friends which company they use and how their claims were handled. An insurer’s past handling of claims can give you a good sense of the service quality you can expect.

State insurance regulatory agencies are also a valuable resource and can be found online.