When you wish to keep your boat docked at a marina, you may be required to insure it with boat insurance. Some states also require a limited amount of liability insurance. Unfortunately, liability insurance won’t cover everything when it comes to your boat.
Full coverage boat insurance is an umbrella term for the most amount of insurance you can insure your boat with. This could mean different limits for different boat owners, but the coverages available are the same or similar. Full coverage boat insurance often encompasses:
Physical loss and damage cover damage or loss of the boat due to fire, wind, hail, falling objects, vandalism and collision.
Theft can cover theft of the boat and, in some cases, theft of personal items kept on the boat.
Liability coverage includes accidents of bodily injury and property damage the policyholder may cause to someone else while operating the insured watercraft. Some states and marinas require this type of insurance to protect other people both on and off the water.
Medical payments help with the medical expenses of the driver and their passengers after an accident, no matter who caused it.
Guest passenger liability covers damage and injury a guest on the boat may cause while operating the boat with the owner’s permission.
Towing
If your boat has custom parts or accessories, you can also purchase additional coverage in case these are damaged or lost.
How Much is Full Coverage Boat Insurance
Boat insurance varies depending on several factors, including:
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Age of the policyholder
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Credit score
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Driving record
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Value of the boat
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Location
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Coverage limits
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Deductible
On average, boat owners in the U.S. may pay anywhere between $208 and $348 a year (about $17.33 to $29 a month) for boat insurance. You may lower the cost of your boat insurance by seeking out discounts, such as bundling multiple policies with the same insurer and having a fire extinguisher and radio onboard. You can also lower monthly premiums by raising your deductible, but this means you will have to pay more out of pocket when it comes time to file a claim.
Before deciding on the appropriate insurance for your boat, consider your location and the value of the boat. Boats should be insured with enough coverage to cover the total replacement cost value of the boat in case it is damaged or destroyed in an accident.