Owning a boat directly translates to weekends of outdoor fun with family and friends. Just remember that before all good times begin, boat insurance should be carefully considered. Sometimes home insurance may offer limited coverage for boats, but coverage is limited so fully cover your asset with boat insurance.
Vessel liability coverage will protect against damages and injuries that occur on the water. Being safe conscious at sea is important, but accidents can happen, and it is imperative to be prepared before it is too late. A policy will help pay for some medical costs or repair expenses in case of an emergency.
Accidents can come in many forms and may involve other boat operators, swimmers or water skiers. The kind of damage to property also may include other boats, docks or environmental damages, in the case of oil and fuel spillage. Some policies include a no-fault clause that provides compensation to boat passengers onboard who are injured.
Generally, there are two kinds of policy formats for claims payment. One is known as an “agreed value policy,” which determines the value of the vessel at the time the policy is created. Should there a total loss event, depreciation will not be a factor in the settlement. An “actual cash value policy,” compensates for the depreciated value of the boat at the time of the accident.
There is also what is known as an “all-risk policy.” This will provide the most coverage, although it will be limited to types of loss that are detailed in the policy. It will usually exclude any normal wear and tear, and manufacturer design defects or damage from an animal. Additional coverage may also include: protection for specialty equipment, payment for towing, consequential damage and help with salvage costs.
Boat owners who to use the vessel on open water, store outdoors or simply transport long distances should investigate all the options available for boat coverage. The two most important aspects for coverage will involve how and where the boating takes place. It is important to be fully familiar with these policies types. Should you involved in some kind of accident, you will be well served in knowledge in case you need towing and if it is covered. Keep in mind that when making a claim, pictures of the damage are very helpful. In the end, boat insurance keeps stress levels down and worrying to a minimum, so you can solely focus on all the fun out on the water.
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