With Memorial Day in the books, boating season is finally here! If you are planning to spend your weekends or your entire summer out on the water, boat insurance should be at the top of your priority list. Even after the summer months end, it is a smart idea to keep fully covered with boat insurance. Although several states do not require it, boat insurance is a highly recommended coverage option and states do require boaters to pass a boating safety course.

At Penny Insurance, we want to make sure that your “fun” is insured. We offer comprehensive insurance coverage for different types of water toys and boats. Plus, by combining this type of insurance with other insurance, such as home and auto, you gain discounts to help save and protect all your assets, even the fun ones. 

Making the Decision

If you are making payments on a boat or water craft your bank will most likely require you to carry boat insurance even if your state does not (North Carolina does not require boat owners to have insurance, although it is highly recommended). Most banks will not give you a loan on your boat without providing proof of insurance that covers the full value of the boat in the incident of a loss. The bank will be listed as the lien holder on the policy so that, if any loss payments are made, it would also be listed as co-payee on the check. Before a marina or boatyard will accept a contract for a slip or a mooring, most also will require liability insurance proof.

Off the Water

It is a no-brainer that you should protect your boat during peak boating seasons but, even after boating season is over, or if you store your boat out of the water, you should always maintain and update your boat insurance. Once warm weather ends and your boat is stored in a slip or in the yard, you may think cancelling your boat insurance is a good way to save money in the off-season. Vandalism, theft, fire or flooding can happen at any time not just during the summer. Hurricane Matthew destroyed numerous boats and yachts both on and off of the water. Boat owners are also liable for injuries. If someone accidentally gets hurt on or around your boat you could be responsible for their injuries. Without boat insurance you will be paying for their medical bills whether it happened in the lake or a boat yard.

How it Works

People often assume that their homeowner’s policy will cover their boat. Unfortunately, homeowner’s policies are usually limited to boats under a certain size or value, because they do not have the requirements to cover the types of losses that may occur with a boat. The first step in buying boat insurance is deciding with your insurance agent the amount of coverage you need for your boat, the deductible and the types of coverage you need. In the occurrence of an accident, theft or injury you will be able to file a claim and receive payment to cover the loss. The amount of boat insurance depends on many factors such as the boat’s value, motor size, age and how you use it. The amount you purchase typically reflects the potential injuries you may need to cover if one of your passengers gets hurt or your boat gets damaged. Other coverage amounts, such as collision coverage and comprehensive coverage, are based solely on the value of your boat. 

Boating with your friends and family should be a relaxing time not a logistical nightmare. With more than 85 years of insurance experience, Penny Insurance has the knowledge and resources to properly insure your luxury assets. We want to protect you and your family so you can have more fun on the water. Call us today to get a free quote on your boat so you can stop worrying and start having more fun.