With the weather warming up and Memorial Day just around the corner, many boaters are going to be getting their boats out on the water for the season. Hopefully you’ll find that winter has been kind to your boat and all is well. It’s important that just like any other vehicle, your boat needs insurance too.
Boat insurance is very similar to auto insurance. It’s includes some of the same coverage, such as liability, uninsured motorist, comprehensive, collision, and towing. You can refer back to my previous blog post which explains what all of these coverages mean by clicking here.
How Boat Insurance Is Different
Boat insurance coverages may vary from company to company so it’s important to check with your agent regarding coverages that are included or offered.
When you insure a car, you’re insuring it at actual cash value aka a depreciated amount. With boat insurance, your boat is insured at full replacement cost. This means that if you carry comprehensive and collision insurance on your boat, your policy will pay to return your boat back to what it was before, after a covered loss. For example, if you hit a dock and damage your boat and the damage amount is $5,000, your policy will pay to repair that damage, less your deductible.
Another coverage offered is for a fuel spill. Below is an example from one of our trusted companies that explains how this coverage works.
“Your boat sinks in a nature reserve and the government issues you a fine-claiming your fuel spill threatens marine life and makes the water unsanitary. Progressive will pay the fine up to your policy’s limits.”-Progressive
Boat insurance also offers wreckage removal which means if your boat sinks and it is required to be removed by law, your policy will pay to have it removed.
Other coverages include total loss replacement, roadside assistance, contents coverage, mechanical breakdown, and pet coverage just to name a few. SIG’s boat policies are written through Progressive, Travelers, or Safeco. You can visit the links below to see what coverages are offered and which company may best suit your needs. Please give us a call for a free quote on boat insurance.