Not all boat insurance is created equally. Some carriers provide basic insurance for boaters, while others have a comprehensive policy. Knowing what you’re covered for before heading out on the water is important.
Keep reading to find out what coverage your plan should include!
1. Consequential Damage Coverage
Sometimes boats sink because of a damaged part or a faulty operating mechanism in the boat. Did you know not all boat insurance covers this event?
Make sure that your corporate or independent insurance agency covers damage in the event of something being wrong mechanically with your boat. It will help you in having to pay out of pocket either for a new boat or repairs on the damaged one you now have.
Ask your company about their definition of consequential damage, as oftentimes, it is only applicable in a total loss.
2. Total-Salvage Coverage
If you live in an area that is prone to hurricanes, this is coverage you don’t want to miss off your boat insurance.
In the event that there is a storm and your boat is dragged out to an area away from where it’s supposed to be will cost you thousands of dollars to bring back whether it has damage or not. The insurance company will help you cover the cost of retrieval.
Keep in mind that some boat insurance companies only cover a percentage of a salvage, so be sure to ask what their coverage entails.
3. Uninsured Boater Coverage
Uninsured boater coverage protects you in the event of a collision or hit-and-run with another boater who doesn’t have boat insurance to cover the damage. You’ll be able to have coverage for damage to your boat as well as bodily injury that may occur in the accident.
This is similar to automobile uninsured driver coverage.
4. Partial Loss Depreciation Waiver
If your boat is older, you should look into this coverage to see if it works for you.
Insurance companies will depreciate your item and pay what it is worth at the time of the claim, not how much you paid for it. This coverage stops that process when insuring the boat to ensure you are getting the value when you add it to your policy.
5. Boat Trailer Coverage
This coverage will ensure that the trailer that you haul your boat on is covered in case of damage or theft.
This is important because if your boat is stolen or damaged, the insurance company will pay for the boat and trailer so that you can purchase a new one if you wish.
Many companies will not cover this, so you’ll have to eat the cost.
Getting the Right Boat Insurance
There are boat insurance coverages that can be otherwise missed if you don’t know what you’re looking for. Ensure that your policy is the best it can be so that you’re not losing thousands of dollars for things that could have been covered by insurance for a much lower cost.
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