Personal Watercraft and Boat Insurance Coverage
One of the biggest mistakes most boat owners make when it comes to insurance coverage is assuming their auto or their homeowner’s insurance covers their boat including the property damage and liability coverage. However, auto insurance policies never cover boats, and homeowner’s insurance coverage is very limited based on the type of policy, your insurance company, and the type of watercraft you own. So it is important to discuss your coverage with your agent before you make any assumptions.
A typical watercraft policy includes coverage for property damage and liability coverage. For most boat owners, this is not enough. It is important to also make sure you have coverage for the damage to another craft or dock, bodily injury in case of injury, physical damage to not only the hull but also the engine, trailer, and other equipment. Most watercraft are not insured so it is important to make sure you have uninsured watercraft coverage as well. Towing a boat could be costly so towing coverage is also a good option to consider adding to your watercraft policy.
As you can see, there could be a lot of loopholes in your current coverage that could end up costing a lot out of pocket in case of an accident. So make sure to have a conversation with your agent and take time to review your coverage and request quotes for the optional coverage that might benefit you and your special needs based on your use and your specific watercraft type. If you are a fisherman, make sure to also inquire about covering your fishing equipment. This optional coverage could usually be added at a nominal cost.
An important coverage option that you might want to also consider is Fuel Spill and Wreckage Removal Coverage which covers costs related to cleaning up fuel spills and removal of accident wreckage.