Understanding Types of Boat Insurance: How to Choose the Right One

We are well aware of what our coverage options are when it comes to our lives, our properties, and our vehicles, but what happens when you want to make sure that your boat is protected and that you are safe every time you are on the water? In this article, we are going to help you understand the different types of boat insurance and we will also give you advice on how to choose the right one depending on your budget, needs, and the type of vessel you own.


Source: hpminsurance.com

The first type we’re going to talk about is liability coverage and this is the most popular type when it comes to boat insurance. This is the typical type that you want to get and it will protect you and everyone else who is in the water. This means that if you ever get in an accident when you are on your vessel the insurance policy will cover all the potential damages that have occurred not only to your property but also to anyone else who has been involved in the accident.

When it comes to the amount that you could pay for this type of coverage it usually starts at around the 100 grand mark, but most policy advisers will suggest for you take insurance that would cover at least half a million for damages up to one million dollars.

Property damage

The next option that you have, as the title suggests, is the property damage one, meaning that this type of coverage would cover your expenses, as well as everyone else’s, if you get into an accident and if you are responsible for the damages on any other boat in the water. This means that if you ever get in an accident while docking and if you ever damaged someone else’s property the policy will cover all the expenses that should be on your cost.

Another thing that this policy is practical for is the removal of any wreckage that is on the bottom of the water because as you probably know it is illegal for you to do the removal process on your own. You’re going to save yourself 10s of thousands of dollars just for the wreckage removal and you will also be covered in case you get in an accident or you cause damage to someone else’s vessel.

When it comes to how much you should invest in this type of insurance the prices vary and you can take a policy that would cover you for up to 100 grand or you can choose anything more expensive than that depending on the type of your vessel and the type of waters that you usually visit.


Source: mentorins.com

Another option that you have when it comes to boat insurance is the bodily injury type. This means that if you ever get in an accident where you are the responsible party and if someone on your vessel or on the other party’s vessel gets injured the policy will cover all the medical expenses and everything else that has happened.

You should know that sometimes this package is available with the liability coverage that we talked about earlier but this is not always the case. If you are interested in this option and if you want to make sure that no matter what happens you will not end up having to pay thousands and hundreds of thousands in medical expenses, it is best to talk with the insurance representative and check to see which is the best coverage option for your needs. Check to see if the liability coverage in your location does cover bodily injuries and if not, it is recommended for you to always have this feature signed up for.


If you want to make sure that all the expenses when it comes to the repair of your vessel after an accident are taken care of then you should consider the collision type of policy. With this type of coverage, no matter if you are the one who was responsible for the accident or if your boat got damaged while it was parked in the marina, the policy will cover all of the expenses when it comes to repairing.

It will also protect you if you get in an accident and if there are a lot of things that need to be fixed on your vessel as well as the other party’s boat. Keep in mind that this is the best option even if you collide with the rock or anything else and you will not have to pay anything as long as choose the right type of policy. Talk to the representative about this type of policy and know that there are different subtypes that would protect you even if you are the one at fault, but there are also policies where you will have to pay a percentage of the damages if you are the one who caused the accident or the collision.


Source: primeins.com

The final type that you can choose is the comprehensive type of insurance and with this option, your vessel will be protected no matter what happens to it. This means that if there is a storm, a hurricane, or any other type of natural disaster and your vessel gets damaged, the policy will cover all the expenses when it comes to repairing.

With this type of coverage, you will also be protected when it comes to theft and vandalism and you will not have to worry about anything that could happen to your boat when you are on it and when it’s just docked.

How to choose the right one?

Now that you know more about the different options that you have the best thing you can do is see which one would be the best type for your needs and you also need to check different types of policies that are available in your area. It is always recommended for you to talk to the representative and see what they suggest depending on the type of vessel that you have and your needs. You should always do additional research and see what the plans and packages are and see if you can combine the different types of policies that would work the best for your needs.

Getting an insurance policy for your vessel is a must no matter how much and how often you use it and even if you have a lot of skills and experience when it comes to navigating and using one you should always make sure that you are protected from any types of damages or liability claims. Remember that the horsepower and the size of your vessel will play a role as well so talk to the representative about what is recommended when it comes to the exact boat that you own.