Watercraft

Are you a current boat owner or are you looking at making an investment in a boat for personal or business use? If you are a current boat owner and you insure your boat with a regular insurance company like GEICO, Progressive or Allstate you may want to consider a company that specializes in boats or watercraft to get the best deal on boat insurance quotes. Conversely many regular insurance companies offer significant discounts if you have multiple policies with them. Everyone knows that the major insurance companies offer a discount if you have multiple vehicles on your auto insurance and an additional discount if you also insure your home with them, but it is a little known fact that you can get and additional discount by insuring your boat as well. 

The only problem with this is that depending on the insurance company you may be able to get a better overall price by buying separate policies for your car, home and boat. Progressive has built an entire ad campaign about how easy it is to get your car, motorcycle or home insured and that they will even give you the premium for the same coverage for up to three competitors and have recently added boats and personal water craft to their commercial base. 

Allstate has accident forgiveness that they are advertising heavily on the radio and television. All of their ads only speak of the provision in relation to cars and do not mention boats, but it is a great feature especially if you will have new drivers on your policy whether it will be for your car OR boat. Your best bet for online insurance quotes are the regular insurance web sites like esurance.com, insureweb.com and others.

They all have options to enter boat in for the type of insurance you are looking for and will then be able to compare premiums from the various major insurance companies. Once you have some of those in hand you should try several boat specialty insurance companies and get their rates as well. 

The best specialty boat insurers are Boat US, United Marine Underwriters and NBOA (National Boat Owner's Association). NBOA offers a membership that includes towing, discounts from their Boat Equipment Store and industry leading advice from many marine experts and a discount over and above the excellent premiums they offer from many marine insurance companies. They offer the following kinds of insurance - Sea Ray Boat insurance, power boat insurance, sail boat insurance, personal water craft insurance, house boat insurance, race boat insurance, ski boat insurance, jet ski insurance, catamaran insurance, fishing boat insurance and more. 

Their main competition is Boat US which also offers a towing service and authorized service from marine dealers around the country. My father in law bought the Boat US membership that cost him $300 for a year and within a month of owning his used boat had to be towed in from the bay and the bill would have been over $600 so he paid for his membership for two years with the one tow.

Although there is no official standard such as ISO within the yacht insurance industry to guarantee complete consistency across carriers, most policies have developed many common denominators.

Hull, protection and indemnity, medical payments, personal effects, uninsured boater's liability, towing and emergency assistance and even pollution coverage have all become accepted as essential elements within a policy. 

However, as we know the devil hides in the detail and the subtle nuances between seemingly similar policies can lead to very costly uncovered loss, in turn resulting in an expensive claim on your own professional indemnity cover.

Environmental damage, Ice and freezing, mechanical break down, and defense costs are some of the key areas that if cover is not adequate can lurk beneath the surface of a policy waiting to cause such exposure if attention to detail is overlooked.

We live in an age of increase environmental awareness and as such the laws designed to protect our beautiful planet are now rigorously purposeful in their intent to hold boat owners accountable for their actions. If you are the owner of luxury sports/fishing yacht in Queensland for example, a minor accident running aground into one of the local reefs could leave a bill that would leave Richard Branson feeling slightly worried.

Environmental damage is generally addressed by carriers in three different ways.

Firstly, total exclusion for the damage to the marine environment, secondly with a stated sub-limit ranging from $60,000 to $150,000 and finally a policy which is 'silent' to the coverage. Obviously the latter is the most generous as it doesn't exclude or sub limit environmental damage, however if the insured yacht is based somewhere such as the more robust shores of England, it can be an unnecessary premium.

Possibly the most frequently argued claim in a carrier's yacht portfolio is almost certainly mechanical breakdown. Although coverage for mechanical breakdown is by no means uncommon how it is adjusted varies widely. There is a thin line between wear and tear and the unforeseen mechanical breakdown. The latter being often being covered and the former more than likely not.

It is essential to establish the variables within the policy such as is the cover adjusted on the basis of its actual cash value or a replacement cost? Also does the valuation change when the boat reaches a certain age and if so, when? Often a policy will begin as replacement cost and then convert to ACV as the boat reaches an age such as 10 years old.

To overlook the threat of ice and freezing as non-critical is all too easy unless you are based in an area where it is common fact of life. This outlook can be compared to the homeowner who doesn't' buy flood coverage because he doesn't live on the water and therefore doesn't see the threat. Too often this nonchalance can come back to haunt us. More often than not Ice and freezing is excluded but there are policies which have no such exclusions or give back coverage based on the berthing standards of the vessel which provide underwriters with more opportunities to control exposure. In this instance some policies may not exclude ice and freezing but rather exclude damage resulting from improper winterization.

Finally it is vital to understand the critical difference between a policy that has defense cost in addition to the limit of liability and a policy where the defense costs are included within the limit of liability, thereby diminishing the limit available for settlement by the cost of the defense. With their still being a lack of standard here make sure you check each policy wording carefully. If the owner runs out of limit often the only feasible step is to make up the difference with your PI cover - and this is not good. 

Obviously it is important to know all of the coverage differences from policy to policy but each of the above occur in real life scenarios and the difference in one policy over another can have dramatic effect upon the amount of loss covered by any particular carrier.

With the yachting sector having seen many top insurers merge, sell on their portfolios or even leave the business altogether across the last five years, now more than ever an examination of policy and what lies beneath the surface can prove to be a invaluable endeavor when placing business.

In some ways, boats are like people, too. They have names, they are special, they can vanish, and most of all, they are an asset because they have value. And because they have value, be it price value or a sentimental value, we are more likely to get an appropriate insurance for them. Not only are your concerns limited to the value of the boat, you are also all the more concerned about the people and the lives that are involved on it. When you are just new to the boating scene, you are more likely to get lost in your search for a good boat insurance quote.

To start with, if there's anything that will send you to confusion when it comes to getting the right insurance for your boat, it will be because there are many insurance coverage and policies to choose from. They are offered by different companies who will each claim that they offer the best among the rest. Which insurance company will give the right quote for you? Every company seems to claim to be number one. Sometimes, it takes a good amount of background investigation and research before you can get settled with a good coverage and arriving at the best boat insurance quote that will make you look forward to sailing.

How do you get a good boat insurance quote from an insurance company? Or should the question be, how do you pick the right insurance company? First of all, the insurance company should be one who has been in the insurance business even years before you started sailing. An insurance company should have an untarnished reputation of being able to comply with their insurance obligations should the boat insurer make his or her claim. In short, you need to check on the credibility of the insurance company.

Before you decide to get insurance for your boat, try any and all other means possible to make a good comparison about the different insurance quotes that are being offered. In fact, you can easily ask for reasonable quotes on the web. Yes, insurance companies are now selling policies online and they usually offer to get you a good quote without the obligation of getting yourself signed up for a policy if you don't really want to.

So, how do you make sure you are not getting garbage for your boat insurance quote? You can start by knowing how much your boat is worth to you based on the age of the boat and the boat accessories that come along with it. You would also want to find out how much you are willing to pay for your insurance premium. It is also entirely up to you if you want to make your insurance coverage as wider as possible. So, get quoted now from different insurance companies, weigh things up, pick the right one, and sail on.

In case an accident should take place while riding a sit-down or stand-up jet ski (also referred to as a Waverunner or personal watercraft), it is always a wise more to have adequate insurance protection in place for all potential incidents.

Jet ski insurance is not merely a basic plan to cover the costs for repairs and damage after a accident, but of more importance to ensure ample protection is there in case of bodily injury to riders or third parties, in which case coverage for medical expenses is a necessity.

To arrange a full risks insurance plan for a personal watercraft it often helps to locate a marine insurer that specializes in boats in general or those completely dedicated to high-speed watercraft, such as jet skis.

Common benefits to a typical personal watercraft insurance plan include - fire, theft, vandalism, and accidental damage protection - uninsured or underinsured liability - medical expenses - a liability extension to tow water skis, wakeboards, kneeboard, or towable tubes.

Small sized powerboats and PWC often attract a high premium rate due to a larger number of accidents often coming down to those boaters owning a jet boat, water ski boat or personal watercraft. Reports indicate some of the common reasons for injury or accident whilst riding a jet ski include a reckless driver, insufficient or limited handling experience, or just a complete lack of attention to a riders surroundings.

Taking out a PWC insurance plan is not a requirement in all states (search a local states.gov website for full information); even though it is a benefit to ensure sufficient coverage is arranged should an accident take place in the future.

If you are like most boat owners, you take great pride in your keeping your boat in top condition. You love the feeling of being on the water. Whether you like the solitude and peacefulness of fishing on the lake or you enjoy spending the day tubing with friends, your boat is the centerpiece of any ideal day. You know it is important to protect your boat with insurance, but you want to make sure that it doesn't cost you an arm and a leg. After all, you probably would like to have more money to spend on the newest boating accessories.

So, what are some ways to get the protection you need at a price you can afford? Your first action should be to shop around. There are many companies that offer boat insurance. Most insurance companies make comparing prices easy by letting you get an instant quote online. When you spend just an hour or two checking out different companies, you could end up savings hundreds on your annual insurance premiums.

Another great idea for saving on your insurance costs is to get a bundled rate. You most likely own a car, so by getting insurance on your car and your boat through one company you will get a discount on the rates for both. The more you can add to the bundle, the deeper the discounts. If you own a home, attaching its insurance with the boat and the car will result in significant savings on your premiums.

You should also consider increasing the deductible on your boat insurance. The deductible is the amount you are responsible for paying should you make a claim. Any amount above the deductible level will be paid by the insurance company. When you increase the deductible on your policy, you are taking on more risk. However, as your risk goes up, the premium will go down. If you decide to increase your deductible, be sure to have enough money in your savings to cover this amount just in case you should have to place a claim.

One of the best ways to keep a lowered rate is not to have to make a claim. Most insurance companies give discounts for claim-free policy holders. So, use your boat responsibly and store it in a safe area. Don't leave valuables on your boat where they can be easily taken. Of course, never operate your boat while you are under the influence of drugs or alcohol.

If you are smart, shop around, combine your insurance and are careful with your boat, you could achieve considerable savings on your boat insurance.

Yachts are obviously very expensive to buy and are valuable items. Therefore it is important to ensure that they are fully insured. Insurance cover should include such things as theft, damage, explosion - always a risk where a lot of fuel is being carried - and outright loss.

It is important to know what kind of cover is required for your vessel. The marine insurance industry classes vessels over 26 foot as yachts and they qualify for yacht insurance. If they are less than 26 foot they are eligible for boat insurance cover.

In order to adequately insure your yacht, you need assess how much it would cost to replace the vessel if it were lost or completely destroyed. Then it is a case of finding out how much it would be to replace the items and equipment on board.

You will also need to make provision in your cover if the yacht is docked in a region that is susceptible to violent weather conditions such as hurricanes. It is also important to consider indemnity coverage in the event that your vessel causes damage to another persons boat or property through a collision.

Yacht insurance will save you a massive outlay in cash should your craft be lost, stolen or cause third party damage. Therefore, like with any other valuable object, it is worth having. But of course, it will be costly, depending on the value of your yacht and the type of cover purchased.

Other factors will also determine the cost of your cover. These include such things as the length of the vessel, its age, where it is going to be sailed, and the type of engine it has. However, there are several factors which can lead to a discount in premiums. They include the provision of on board safety equipment, whether the owners have taken safety courses and if the yacht is laid up for a long period.

Depending on your type of yacht insurance it may contain certain warranties which restrict its use. A navigational warranty will limit the amount of time you can sail your vessel in certain parts of the world. Under a lay up warranty your yacht must be docked during certain times of the year.

Yacht insurance is vitally important for owners should anything unforeseen happen to what is a very expensive item of property. Should you take the time and care to insure your craft properly, the benefits of insurance will then become apparent should misfortune strike. But hopefully you will soon be out at sea sailing again.

One of the key things to realise before embarking on insurance for your watercraft is to be clear about which type of policy you actually need. The way to differentiate between the two is actually fairly easy. A good rule of thumb is as follows:

Boat Insurance - Watercraft that are up to 26 feet in length

Yacht Insurance - Watercraft that are 27 feet and over in length

Once you have established which type you need (you will find that most boat insurance companies will offer both) then here are two important factors that you need to bear in mind before finally settling on which policy to get:

1/ Agreed Value vs Actual Cash Value Settlements - You want to be clear about this ahead of time, because an agreed value settlement is far more favourable to the boat owner, and an actual cash value settlement is much more favourable to the boat insurance company, because it factors in asset value when the loss, theft etc was ACTUALLY suffered.

In practice this is likely to give you a headache, because unless you are an actuary you are going to have a hard job knowing what the insurance would pay out at any particular point.

So, for a quiet life, and the sake of your wallet, you should always get an agreed value policy wherever possible.

2/ Deductible Amounts - Make sure that you are clear how much the deductible on the policy will be. This can vary much more than you might think both from policy to policy, but also depending on the type of accident that the boat suffers that requires you to seek a settlement.

For example, hull damage is likely to be a 3% deductible on a yacht, but windstorm damage is likely to be a totally different amount.

Make sure you know what they are.

The best way to proceed is to get yourself a boat insurance quote right now so that you can immediately get a feel for how much the policy will cost. In this way you will be better prepared, and can better gauge the differences between the policies.