One of the first questions that you should ask yourself when buying boating insurance is what the best cover is for you to protect your boat if something goes wrong? In this article we have prepared a short guide which may help you to choose the most appropriate cover for you and your new purchase. Asking yourself why you need boat insurance is a fair question and surprisingly it is actually not a legal requirement to have insurance for boats on the water. Having appropriate cover makes sound financial sense for you especially in the case of an accident so looking into what you need is paramount.
There are marine mortgage companies that offer compulsory insurance as part of their money lending process however there are two reasons why boat insurance is not a “would like to have” but a “must have”. You have to protect your investment against loss or damage which could ultimately result in a large and costly repair bill if the worst were to happen. This is something you definitely don’t want! Secondly if you don’t have adequate insurance you cannot be protected against third-party liability for injury or damage caused by you or the boat. Companies like www.ribshackmarine.co.uk who sell boats will mention this during their sales pitch. This can be very pricey if you’re not insured. A lot of things can influence the premium that will be payable whether you buy a tiny little boat to large superyacht or a fast jet ski, each boat will attract a different level of risk. Insurance for boats is categorised according to the boat type it goes about saying that a large boat with a powerful engine costing several hundred thousand pounds will be far more expensive to insure than a smaller less powerful craft like a JetSki.
A super yacht will have a very different risk assessment for the JetSki or a tiny wooden boat or a dinghy and you should consider the type of vessel and any potential repair bills before calculating your premium. The area in which you intend to keep and use the boat will also have an influence on the level of premium you pay. This can actually have restrictions on your cover for as it needs to be assessed for local weather conditions. If your boat is able to be trailered and spend a large amount of time tucked away on your drive you will likely pay something different than if it is stored at a marina. Make sure that you are aware that trailered boat can actually only be covered under your car insurance so if you’re trailered boat causes an accident it is your car insurance that will take the hit not your boat insurance. When looking for a policy the level of premium is obviously very important but it shouldn’t be the deciding factor. Try and strike a balance between costs versus benefits and ask are there any replacement costs issued on the new for old basis and ensure that your policy covers any cruising round.
You can get third party insurance that provides protection for you or somebody using your boat from claims made by other people for death or injury or damage to third-party property for which you can become legally liable. Whether you buy your policy from a specialist insurance broker, from existing car insurance companies or just online, they all have their own merits the main point is that you only insure the appropriate and don’t scrimp on the cover if your demands are likely to be high.