Insuring Your Boat

There are many issues to consider when insuring aschedule to cover it. If you store your boat in a
recreational boat. Many people view boating as a funmarina or other commercial boat storage facility, they
sport and don't consider there to be enough riskswill normally require you to demonstrate proof of
associated with boating to make insuring the boatinsurance prior to storing your boat. The marina's
very important.insurance will cover any negligence or damage to
First of all, do you need to be reminded that we liveyour boat that results from the marina's liability, but it
in a litigious world? Even though a friend or 'guest' onvery likely will not cover your boat in the event of a
board your boat for the day may be very chummy,flood, fire, hurricane, tornado or other act of God.
that would likely change if they or their child were toYou must have insurance coverage for this sort of
be injured while on a boating voyage on your boat.exposure. There were many thousands of boats
Wherever you go, accidents can happen and boatingdamaged or destroyed by hurricanes Katrina and Rita
is certainly no exception. And, when faced withon the Gulf Coat in 2005. A large number of the
enormous medical bills, it is normal for people to seekboatowners were shocked to learn that their boats
recovery from others, even though they may notwere not covered by the marina's insurance policy.
have been 'at fault'. You simply should not have aThose that had their boats in storage without
recreational boat without, at a minimum, a basiccoverage for storage suffered a complete loss!
liability policy.In 10 years in the marina business, I have
Most banks and marine finance companies requireunfortunately seen several drownings, swimmers run
that boats covered under their financing areover by a boater's propeller, broken limbs and backs
adequately insured. Likewise, you need to have thisand 50 or so sunken boats. Most of this was a result
coverage for the protection of your other assets. Ifof somebody's negligence. Many of these boaters
you are found to be at fault for a drowning or lossfailed to have insurance coverage! Unfortunately,
of a limb, your entire financial future, and that ofthere is no legal requirement to do so. The risks can
your family, can be ruined. It is simply not worth thebe huge.
risk.Boat insurance can be obtained from several sources.
Insurance on a boat is similar to insurance on anMany people choose to add their boat onto their
automobile. There is coverage for your boat,homeowner's policy and the umbrella insurance
coverage for the liability you have for persons inprovided thereon. That is certainly better than not
your boat as well as others who light be damaged byhaving insurance. Marine insurance may, in fact, prove
your boat or your actions regarding your boat. And,to be a better buy. It certainly pays to do your
just like your car, the premiums are dependent onhomework. When there are problems, the marine
the dollar value of the coverage limits that you select.insurers are considerably more conversant in the
Consider how you plan to use your boat. Will you bemarine issues than the adjusters of the standard
trailering it from lake to lake to enjoy a variety ofproperty & casualty commercial insurer.
voyages? If so, you will also need to considerIt is surely advisable to take one of the safe boating
coverage while the boat is in tow. You need tocourses offered by the U. S. Coast Guard or the U. S.
check out this coverage in light of your autoPower Squadron. I would encourage your whole
insurance and what is covered by that policy in thefamily to take the course and think about the safety
event of an auto accident while towing the boat.issues when around your boat. Also be certain hat
If you will be storing the boat in your garage or atyou have the proper number and type of Personal
your dock, there are other considerations. ForFloatation Devices (PFD's) for the crew of your boat
example, if you only use the boat during the summeras well as the other safety equipment that's
season, many insurers allow you to declare a 'storageappropriate and required by law. Just like in your car,
only' coverage for that time of the year when thebe sure you have a designated driver along if you
boat is not being used. You would need to notify theintend to consume alcohol while on your voyage! The
insurance company at the start of the season andsun and spray tend to exacerbate the absorption of
then again at the end of the season. This will have aalcohol into your bloodstream and many states now
direct effect on your premiums and it will ensure thatenforce a "BUI" Boating Under the Influence law.
you are not paying premiums for liability coveragesDo your homework before buying your boat
while there is virtually no risk involved.insurance, but be certain that you get it. This is true
While your boat may very well be covered undereven for the smallest of boats, especially personal
your homeowner's policy while stored in your garage,watercraft (PWC's).
you may have to declare it on a supplementalHave a safe and fun time on the water this year!