On bright and sunny summer days, the allure of the water can be irresistible. If you live near a lake, river, or ocean, boating trips may be the perfect getaway when warm weather hits. But before you set sail, take some time to consider whether you and your passengers meet the required safety standards and are prepared for any unforeseen events. This article covers the basics of boat owners insurance.
Important Disclosure: Content on our website and in our newsletters is for informational purposes only. The information provided may (or may not) directly apply to your situation. We recommend that readers work directly with a professional advisor when making decisions in the context of their specific situation.
On bright and sunny summer days, the allure of the water can be irresistible. If you live near a lake, river, or ocean, boating trips may be the perfect getaway when warm weather hits. But before you set sail, take some time to consider whether you and your passengers meet the required safety standards and are prepared for any unforeseen events.
Boating can be a lot of fun, but it can also be dangerous. The U.S. Coast Guard reported that last year, there were 4,168 accidents that involved 613 deaths, 2,559 injuries and approximately $55 million dollars of damage to property as a result of recreational boating accidents. The fatality rate was 5.2 deaths per 100,000 registered recreational vessels.
Fortunately, the Coast Guard statistics also reveal that the number of accidents and fatalities seems to be on the decline, as compared to previous years. To further this trend, the Coast Guard offers online boating safety tips at www.uscgboating.org, along with the opportunity to take online boating safety courses and earn certifications.
However, the potential for mishaps and liabilities has made boat owners increasingly aware of the need for boat owners insurance.
A typical boat owner’s policy can provide protection for your boat, motor, and equipment against damages incurred by weather, sinking, capsizing, stranding, explosion, fire, and theft.
A policy can also help safeguard boating equipment, which may include anchors, oars, fuel tanks, life jackets, dinghies, tools, and canopies.
Liability coverage is also offered as legal protection against damages inflicted by the use of your boat, and it may also cover medical treatment needed by your occupants as a result of an accident.
You may choose to add additional coverage to your policy. Some examples of endorsements include emergency services, such as towing and pre-hurricane haul-out.
Additional coverage add-ons could insure personal effects, fishing tackle, and replacement cost motor coverage.
In some cases, discounted policy rates may apply for owners who have taken boating safety courses or have good operating records; or if the age of the boat and the ages of all operators are deemed favorable.
When selecting a boat owner’s policy, ask questions. Some topics you might want to discuss include the following:
When applying for a boat owners insurance policy, be prepared to supply the following information:
Taking a few minutes to answer these questions can help determine the appropriate coverage that will protect both you and your loved ones. Routine safety checks should also be a part of your protection plan.
With the purchase of boat owner’s insurance, you may be a step ahead in protecting yourself from the sometimes unpredictable elements of the sea.
If you need to discuss your boat coverage options, talk to your financial advisor.
The information contained within is believed to be from reliable sources. However, its accurateness, completeness, and the opinions based thereon by the author are not guaranteed – no responsibility is assumed for omissions or errors. The views expressed herein reflect our judgment now and are subject to change without notice and may or may not be updated. Nothing in this document should be construed as investment, tax, financial, accounting, or legal advice. Each prospective investor must make their own evaluation and investigation of any investments considered or of any investment strategies described herein (including the risks and merits thereof), should seek professional advice for their particular circumstances, and should inform themselves as to the tax or other consequences of any investments or services considered or described herein. Please see other important disclosures related to StrongValley.com
You are now leaving the Strong Valley Wealth & Pension, LLC ("Strong Valley") website. By clicking on the "Schwab Alliance Access" link below you will be entering the Charles Schwab & Co., Inc. (“Schwab”) Website. Schwab is a registered broker-dealer, and is not affiliated with Strong Valley or any advisor(s) whose name(s) appears on this Website. Strong Valley is/are independently owned and operated. Schwab neither endorses nor recommends Strong Valley. Regardless of any referral or recommendation, Schwab does not endorse or recommend the investment strategy of any advisor. Schwab has agreements with Strong Valley under which Schwab provides Strong Valley with services related to your account. Schwab does not review the Strong Valley website(s), and makes no representation regarding the content of the Website(s). The information contained in the Strong Valley website should not be considered to be either a recommendation by Schwab or a solicitation of any offer to purchase or sell any securities.