Re: overpowering danger?
There could be a danger.
In the extreme, you could break the transom or engine mounts. or you could get it going so fast that you would lose control etc.
It's unlikely though. Many I/O boats were rated up to about 300 (crankshaft) hp.
My previous boat (1966 18' Mark Twain) came with a 110, 120, 150 (Mercruiser #1 drive) and 190, or 310hp(#2 drive) Mercruisers. (The placard indicated max HP 310)
If you're smart enough to have insurance, and you do lose control and kill someone, your insurance company could actually refuse to pay a claim since you knowingly modified your boat in violation of accepted practice & USCG regs etc.
This is sort of like installing automotive parts on a boat and then having a "Kaboom" event.....
An insurance company might not pay in that event and if someone dies, the other parties family (lawyer) will take everything you have it they can prove to a jury that you were "at fault".
You WOULD probably be at fault if you disregarded the placard (ABYC and USCG accepted practices) and installed more HP than is recommended safe....
Of course anyone can sue anyone else....I for one wouldn't try to make it easier.
Your mileage may vary.
Cheers,
Rick