If you’re in the market for a motorboat or sailboat, you’re probably also considering boat insurance. You may have questions about different boat insurance policies and whether you need additional coverage.
At Portland Insurance we have helped many boat owners find the best boat insurance policies for them. In this article, we will share what you need to know about boat insurance to make the best decision for your needs.
Do I Need Boat Insurance?
While it is always recommended to have boat insurance, boat insurance coverage is required by law in only two states. However, additional insurance requirements may apply in some states for certain boaters. Be sure to check with your state marine board or other governing body to find out what the requirements are in your state.
Even though your state may not require you to carry boat insurance, you likely still need it as insurance requirements are becoming more common.
A growing number of banks & marinas require it, especially if you want to rent your boat to others. If you have a boat loan and use the boat as collateral, then it is likely the bank will require you to purchase insurance. Many marinas may also require that you maintain boat insurance coverage while storing your boat on their premises.
Beyond potential binding contracts or state laws and regulations, your risk tolerance will be the determining factor in whether or not you purchase boat insurance coverage. There are many risks associated with operating a boat on the water. These risks can be offset by having an insurance policy in place.
Boats are a significant investment and can be very costly to repair or replace if something unexpected happens. It is important to be well-informed about the risks before making a decision about whether or not to have insurance.
Why You Need Boat Insurance
At Portland Insurance we believe that boat insurance is a must-have for anyone who owns a boat, it is a matter of how much coverage. It provides peace of mind in knowing that you are covered in the event of an accident or incident. Boat insurance can also help protect you from expensive repairs or replacement costs.
Boat insurance policies offer different levels of coverage, so it is important to understand what your needs are before selecting a policy. In general, most boat insurance policies will cover damage to your vessel, liability in the event of an accident, and theft or vandalism.
However, policies can vary greatly in terms of the amount of coverage they provide, so it is important to do your research and select the policy that is right for you.
Here is a list of the common reasons you may need boat insurance:
- Repairs to your boat due to an accident
- Replacement of your boat due to an accident
- Covering additional costs from an accident without insurance
- Medical expenses for your boat driver and passengers
- Liability for accidents that happen on your boat
- Boat theft and vandalism
- Ongoing boat maintenance
If you think you need boat insurance then discuss your boat’s value and planned usage with one of our insurance agents. They can help recommend boat insurance policies that fit your needs.
Comparing Boat Insurance Policies
There are a few things to keep in mind when considering whether or not to purchase boat insurance. First, consider the value of your boat and whether it would be financially difficult to replace if it were damaged or stolen. If you have a loan on your boat, your lender may require you to have insurance.
Additionally, think about how often you use your boat and whether you typically sail in calm or rough waters. If you only use your boat occasionally and stick to calm lakes and rivers, you may be able to get by with a less comprehensive policy. However, if you use your vessel frequently or sail in treacherous waters or at risky speeds, it is worth investing in a more robust policy.
Ultimately, whether or not you choose to purchase boat insurance is up to you. However, it is important to weigh all of your options before making a decision so that you can be sure you are getting the coverage that best suits your needs.
Does Boat Insurance Cover Boat Trailers?
There is no standard requirement for boat trailer insurance. Adding your trailer to your existing boat policy can keep it safe in the unfortunate event of accidents, even when the boat isn’t attached to your trailer.
If a covered hazard damages your trailer while it’s on your property, then home insurance should pay for the damage. If your boat trailer damages or injures another person/vehicle, you will be covered for up to the liability limits of your car insurance policy.
Do I Need Boat Trailer Insurance?
There is no state law that requires owners of boat trailers to buy liability insurance — this includes the few states that require boat liability coverage. If you don’t have coverage on your boat trailer, you could be liable for the costs if there’s an accident. Consider weighing the following factors when deciding whether to add your trailer to your boat insurance policy. These factors may involve how often you use it, how important protection is for you, and the cost of coverage.
- Your boat trailer’s value
- The age and lifespan of your trailer
- Replacement cost for your trailer
Although we typically recommend having some boat insurance coverage for most boat owners, there isn’t always a need for boat trailer insurance. However, if you consider the above factors and do want to protect your trailer then it is worth the small cost to add some boat trailer insurance coverage.
Does Auto Insurance Cover a Boat Trailer?
Your car insurance policy may cover damages to other vehicles when you use your trailer. If you have an accident while towing your boat trailer, your vehicle insurance may protect you under liability coverage if the trailer damages another person’s car or injures them.
However, the cost to fix or replace your boat trailer would not be covered by your car insurance policy. For that, you would need to add coverage specifically for your boat trailer.
Big Summer Plans?
Whether you are planning to take your boat, motorcycle, or RV out for some fun this summer, at Portland Insurance we have you covered. We like to keep insurance simple, we will recommend only the coverage you need in a simple and easy-to-understand solution.
You can quickly and easily compare boat insurance rates or insurance rates for all of your other toys, and our team will get back to you with a simple free insurance quote to help you have the most fun this summer.