Insurance Coverage for Boats
It is important to never assume that your homeowners insurance automatically covers your boat. There is the possibility that it might cover a small boat in your driveway, (perhaps a sailboat), but most likely never a motorized one. So, it is important to know your policy details always. If you own a boat, insurance that is specifically tailored for it will cover you in the event of collision, bodily injury, or in helping to pay any medical costs incurred from an accident. It can protect you from uninsured boaters and provides comprehensive coverage if so elected. Policies often offer additional coverage that you would not normally obtain with your auto or homeowners insurance.
If you have put out a significant financial outlay to own a boat, you will certainly want to protect your investment by obtaining boat insurance. Note that if you are the type who keeps your boat at home and never use it, you may very well not find it necessary to have insurance - This kind of insurance does not normally cover a boat when it is out of the water. However, if you keep it docked, even if you are less apt to take it out much, you will be well advised to protect it against accidental damage, vandalism, and theft while it is docked (or actually out cruising of course).
Boat Insurance works in a similar fashion to car or homeowner's insurance. Should something happen to you and/or your boat, you file a claim and then attempt to recover damages. This insurance can cover almost any type of craft that is utilized in the water, be it a fishing boat, jet skis, or a power cruiser. There is also specialty coverage that is available that you would not need or have for an auto.
When you purchase a new boat, one with no previous owner, you can buy insurance that can cover the replacement cost of your boat in the case of a total loss. There are some policy provisions that even allow for the coverage of fishing or scuba equipment. Many policies offer what is called a "vanishing deductible." In this case, if you sustain insurance for a certain period with no claims or accidents, you can see your deductible reduced, often by as much as 25%. If you have losses of personal things that were on the boat, such as cameras, or a computer or other items, you can obtain a policy that covers those kinds of losses as well. You can even get a policy that provides 24-hour roadside service for your trailer and that allows towing services for the boat, while it is in water. If something causes your boat to sink, there is coverage for the raising of it and its removal and disposal.
The bottom line is that obtaining insurance for your boat provides you with the peace of mind in knowing that your sizeable investment is protected. It is comforting to know that repairs and losses are covered if something unexpected happens or if you accidentally cause damage to someone elses watercraft.