Deciding on Coverage for Your Watercraft

The thrill of boating can be ruined by an accident, mechanical breakdown, or injury that occurs while on the water. Though not always required, a boating insurance policy can help give you peace of mind when taking your craft out for the day. The worldwide boat insurance applications have come through for captains in issues of liability that may arise from a collision, malfunction, or incident while moored.

Payout Decisions

You can best understand the purpose of boat insurance with the information found at There are two different types of coverage that you could select for your plan:

  1. Actual cash value
  2. Agreed amount

These two differ in payout, as actual cash value will take into account the depreciated value of the craft in a claim were paying for repairs is needed. Alternatively, the agreed amount will issue funds to pay for repairs accordion to the agreed-upon value of the boat that was established between you and the insurer at the time you purchased your insurance coverage.

The different areas of risk included with your policy may deal with general liability, medical payments, property, and uninsured watercraft. You can check with your broker about the inclusion machinery, fittings, permanently attached equipment, furnishings, and the hull in your standard boat policy. If these areas or other areas of risk aren’t addressed, inquire about upgrading your policy for the most comprehensive coverage.