User Friendly BOAT Insurance
A staggering 75 million Americans participate in recreational boating per annum, and this popular fun on the open water comes with some risks. Obtaining a proper boat insurance policy before engaging in the fun will protect you in so many ways and is actually quite a necessity while being a breeze to obtain.
Who needs this kind of coverage?
Boat insurance policies can be likened to a hybrid homeowners’ and vehicle insurance policy. Those with bigger boats, such as yachts, will benefit most from a policy that closely mimics a homeowner’s insurance policy while those with smaller recreational craft will need coverage that is more like an auto insurance policy. At the very least, boat owners will likely need to obtain to coverage that is for bodily injuries and property damage. This will include injuries that occur on the boat and injuries or deaths that might befall other parties.
Boat owners would be wise to learn the aspects to their boat insurance that are not like their vehicle and homeowners policies. For most boat owners, coverage will not be designed to be in effect throughout the year, with insurance coverage generally becoming active during the seasons in which the boat is put on the water. Additional coverage is also available for any damage that might occur during the off-season.
Another piece of the insurance puzzle is how quickly a boat can depreciate in value. Just like buying a car, the minute you fire up your boat’s engine and take it out for your first cruise it will quickly decrease in its value. This is where an agreed value policy can be helpful; this kind of coverage enables the boat owner to have the boat replaced or to be provided with the cash value of the price that was previously agreed upon before the policy was purchased. Market value policies have coverage that is limited to the current appraised value of the boat, taking into account the amount of depreciation.
Boat owners need to figure out where, when and how often they plan on using their boat when shopping for the right policy. Some coverage only covers freshwater locations while others may be in effect only to a certain distance beyond the coast. Owners are well advised to investigate ways that they can lower their costs such as enrolling in a boating safety course or by installing safety extras such as an engine kill-switch, to name a few.