FAQ: Do I need Boating Insurance?
A common question for many new or experienced boaters is - "Do I need boat insurance?" Well, we're here to give you a little insight and tips to help you make the right decision for yourself and your boating experience.
Having the opportunity to work boat shows and dealer events around the country allows me to speak with many customers. Some of these customers have had multiple boats and are experienced captains. Others are looking to purchase a boat for the first time. One of the most common questions I get asked from new boat buyers is regarding boat insurance. All licensed car drivers are aware that car insurance is required but it’s a little less black and white when it comes to boat insurance. Depending on the state, insurance on your vessel may or may not be required. Regardless of state laws, my feedback to these customers is that insurance is a must have on your boat. With proper coverage you can cover your expenses and protect your investment in the event of an incident.
While state law may be the legal requirement you need to abide by there are other factors you must consider as well. If you keep your boat in a marina, they most likely will require you to have insurance. The same goes for storage facilities and homeowner associations. If you have financed your purchase, then most likely your lending institution will also require insurance. Most boat insurance will cover items like collision damage, liability, and bodily injury to both you and your passengers. Insurance companies will usually also offer additional coverage that you can tailor to your specific usage. If you are an offshore boater, it may make sense to add tow coverage and emergency service.
The cost of boat insurance is usually less expensive than you may think but it will depend on several factors. Type and size of the boat along with how and where you plan to use it are the key items that insurance companies will base your coverage cost on. Just like with other types of insurance the selected coverage and deductible amounts are factors that will help dictate your premium. While I encourage you to shop around, you also need to speak with your current car or home insurance provider as they may offer a discount based on packaging multiple insurance needs together. Some insurance companies may also offer discounts based on taking a boating safety class or having a clean driving record.
Having an insured boat will give you the peace of mind that in the event of a mishap you have one less thing to worry about.
See you on the water!