Is Boat Coverage Included With Your Homeowners Policy?

Does your homeowners policy coverage include your boat? Will it apply to a boat house?

Your boat can provide you with the means to explore and experience the world far beyond the limitations of land. However, taking your vessel out on the open water requires you to account for various risks and exposures, as even the most weathered nautical pilots may be unable to avoid every accident or peril. With this in mind, understanding appropriate insurance selections can make all the difference as you protect your watercraft and financial interests financially.

Can Homeowners Insurance Cover My Boat?

When considering your boat insurance options, you should be particularly wary of underinsuring your vessel. Regardless of size, type or age, boats generally represent significant financial investments, and lacking enough coverage to repair or replace your watercraft could leave you facing significant out-of-pocket losses.

While home insurance coverage often includes a personal property component for a policyholder’s belongings, this clause is generally insufficient for items of significant value, such as boats. This should make homeowners hesitant to assume their homeowners policy provides adequate coverage for their watercraft.

Furthermore, homeowners insurance policies are generally not capable of providing coverage for watercraft unless losses occur while the vessel is out of the water. As such, accidents or damages occurring while you’re using your boat would need to be paid out of pocket unless you have additional forms of insurance.

How Can I Ensure My Boat is Covered?

Generally, you should prioritize purchasing and maintaining a separate boat insurance policy to financially protect your vessel. While the exact details of an ideal policy may vary, you may often want to prioritize the following components:

• Bodily injury liability coverage can insulate you from financial losses arising from third-party injuries for which you were at fault, such as if you strike a swimmer, diver or other vessel.
• Property damage liability coverage may help pay to repair or replace other parties’ property if you were at fault for damaging them, including if you collide with other watercraft or structures.
• Hull coverage may limit your out-of-pocket losses should various incidents, such as severe weather, fire and vandalism, damage the structural components of your boat.
• Contents coverage can assist with repair or replacement costs if items stored or transported on your boat are damaged by covered perils.
• Medical payments coverage may render financial aid for health care expenses if you or your passengers are injured while on your vessel.
• Uninsured/underinsured watercraft coverage can provide financial protection from incidents involving other parties who lack appropriate insurance.

Get the Right Coverage

At Bill Caldwell Insurance Services LLC, we are well-versed in the world of boat coverage and will help you analyze your unique circumstances and secure appropriate policies. Contact us today to learn more.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.