Marine Insurance 411 | Back to Basics from NBOA Marine Insurance
Sponsored Content | NBOA Marine Insurance ( www.nboat.com )
As the boat show season revs up, it is important to remember the basics of boat insurance and exactly how your boat is covered. Whether you are an experienced captain or new to boating, you should always review your marine insurance policy to make sure you know the ins and outs of your coverage. We know what you’re thinking . . . not quite the exciting past-time you had in mind? In the spirit of the new season, NBOA has put together everything you need to know about marine insurance and what coverage should mean to boaters.
"Boat insurance can cover any and all risks."
Starting with the basics, marine insurance is meant to indemnify any financial loss due to damage to a ship and any accompanying properties, including the cargo, from port of departure to port of destination. For the recreational boater, most policies are written as individual watercraft insurance.
Individual watercraft insurance is aimed to target insurance of non-commercial usage watercraft. Similar to automobile insurance, individual watercraft insurance policies might not only cover property losses, but also offer individual protection and watercraft liability coverage.
The liability coverage may cover bodily injury to watercraft occupants, along with others who are involved in any accident. Further medical coverage is generally available in a separate policy rider. Uninsured boater coverage is available as well to cover any damage incurred from hit-and-run vessels, or from vessels which lack insurance coverage.
There is also the option of towing and salvage insurance. It can help with smaller incidents such as an engine failure, mechanical breakdowns, or even having fuel delivered to a stranded boat. Towing and salvage insurance can also help to offset the high costs associated with a vessel that has sustained much damage.
Agreed Value or Actual Cash Value forms are generally offered for hull coverage on a standard vessel. For insurance, it depends on the cash value policies to determine whether when the vessel ages if it will depreciate in value. At NBOA Marine Insurance, we only work with the preferred Agreed Value coverage, which is a better option because whatever amount is on your policy is the amount we have “agreed” on paying. There is no depreciation on this coverage.
Similarly, boat insurance can cover any and all risks, or just risks and perils specified in the policy. No matter the policy type, it is very important to fully understand all of the stipulations which may render the policy null and void. For example, many policies specify navigational limits which render the policy void if exceeded. Depending on the area, accidentally exceeding navigational limits can be very easy on the water where boundaries are not well marked. Always be aware of your navigational limits, and feel free to contact your insurance representative if you require any clarifications on those limits.
Personal watercraft insurance is available for virtually all watercraft. From small pleasure boats and fishing boats, to large yachts and high-performance boats, NBOA insures them all! Specialty coverage can include coverage for watercraft rentals, fishing excursions, and other charter boat trips. With a wide selection and options available, finding the right coverage for your craft and situation simply takes one phone call to NBOA, or click here to visit the NBOA website to request an immediate online insurance quote. As always, the real insurance specialists are happy to help! Call 1-800-248-3512 or visit us online www.nboat.com.
For more frequently asked questions on marine insurance visit NBOA’s FAQ’s (http://www.nboat.com/faq.asp)