Do You Need Insurance for Your Boat?

If you are a boat owner, then there is no doubt that you have considered the importance of insurance. Boating accidents can be unpredictable and costly to deal with. When planning for your future financial security, it is important to consider all possible risks when deciding if or how much boating insurance to purchase.

What Is Boat Insurance?

Homeowners insurance only has very basic coverage for boats and may not insure your watercraft in case of accident or injury. That coverage may be capped at a very low amount and rarely covers liability for injuries and damage to others. Securing boat insurance, such as an insurance policy Myrtle Beach SC, for your boat may be a better option than using your homeowners coverage to insure your boat. 

What Does Boat Insurance Cover?

Policies can vary by company and location. Most policies cover damage from fire, lightning, theft, and vandalism, while also offering medical payments and damages for injuries for those in the boat during an accident. Coverage can extend to damage to the property of others while using the boat. 

What Kinds of Boat Insurance Exist?

There are two primary types of boat insurance that you can purchase for your watercraft: actual cash value and agreed amount value. Actual cash value pays what your boat was worth at the time of the accident. In the event of your boat being destroyed, the agreed amount value will be paid to you for a certain amount that you agree to in your policy. 

Coverage levels vary depending on what state the owner lives in; some states require certain levels of coverage before allowing people to register their boats. Your insurance agent can go over options with you so you can find the most effective and affordable boat insurance coverage for your needs.

Author: Erik Gray