Boat insurance coverage is a policy that covers a boat owner against many of the risks involved in owning a vessel and in operating it. The motor and trailer of the boat are also covered under this. Discussed below are the general details about a boat insurance coverage.
The general risks involved with a boat and those that are covered under a boat insurance coverage are fire, theft, storms, sinking, stranding, collision, capsizing and explosion.
In addition to the equipment that come as permanent fixtures on the boat, the policies also cover oars, anchors, tools, additional fuel tanks, electric trolling motors, detachable canopies, life preservers, seat cushions, skies and two ropes, and dinghies.
A boat insurance coverage would generally provide protection against any legal liability of an accident arising due to the ownership, usage or maintenance of the vessel. The liabilities can be property damage, bodily injury or legal defense.
A boat policy may cover the medical expenses related to a boat incident up to the limit set by the policy terms. It generally covers the resident relatives of the owner and other people who were in the boat at the time of the incident.
The policy amount is first agreed upon between the insurer and the boat owner. This would be the amount paid to the owner if the boat is totaled. In some cases, people go for the actual cash value of the vessel (at the time of the claim) as the agreed value. Sometimes, the insurer might give the option of replacing the boat with a similar one, provided the covered boat is less than 2 years old.
Some additional coverage items include new watercraft protection, uninsured/underinsured boaters, fishing equipment, personal property, reasonable repairs to prevent further damage, emergency service, pet coverage, roadside assistance, and wreck removal.
The exclusions, like the coverage options, differ among the providers. However, the most common exclusions are the following.
Physical Damage: Damage caused by mold, insects, zebra mussels, animals, defective machinery, and regular wear and tear. Machinery damage may also not be covered.
Other Watercraft: Dinghy on a yacht or a jet ski might require separate cover of its own.
Also, boat operators under the age of 16 would not be covered.
The cost of a vis determined mainly by the model, make and year of the boat, trailer and motor.