TL;DR: Boat insurance helps New Hampshire and Vermont boatowners protect their investment, understand coverage options, and choose a policy that fits how and where they use their vessel. The right policy can cover boat damage, liability, theft, add-on protections, and more, depending on the coverage selected.
- Boat insurance costs depend on factors like boat value, location, engine size, boating experience, usage, storage, deductible, and coverage type.
- Agreed Value coverage can help repair or replace a boat up to the stated amount, while Actual Cash Value factors in depreciation.
- Basic policies may include collision damage, property damage liability, bodily injury liability, and optional comprehensive coverage.
- Comprehensive boat insurance can help cover theft, fire, vandalism, and other non-collision losses.
- Boatowners may save through bundling, safety course completion, installed safety equipment, or hybrid/electric boat discounts.
Boat Insurance 101
Enjoy summertime fun on the lakes, ponds, and waterways of New England including New Hampshire, Vermont, and Maine.
Warm rays of the sun, sparkling water, the breeze in your hair, and the calm that comes when you’re out on the water, leaving your worries behind.
Don’t forget the smiles on your friends’ and family’s faces as they head for a day of fun on the boat. New Hampshire offers a wide variety of opportunities for boating enthusiasts. If you’ve invested in a boat, it may be helpful to understand the boat insurance coverage options available for your vessel and boating activities.
If you are renewing or purchasing a boat insurance policy for the first time, several key concerns come to mind for many boat owners.
How much does boat insurance cost?
We all want value regarding the things we buy. Boat insurance is no exception. One way to get value is to understand what you have and what it’s worth to you.
Your boat is more than a motorized vessel you take out on the water. It is an opportunity for fun and lasting memories with friends and family.
If you suffered damages or loss, what is it worth to you to get your boat back on the water?
Several factors affect the cost of your boat insurance, including but not limited to the following:
- The value of your boat
- The state you live in
- The size and boat type you own
- The size of the engine
- Your personal boating experience
- How and where do you plan to use your boat
- Storage time out of water versus the time in the water
- Whether you choose replacement value or cash value for your coverage
- The amount of your deductible
Many boat owners also ask, “How much boat insurance do I need?” The answer depends on factors such as the value of the boat, how it is used, where it is stored, and the level of insurance coverage you are comfortable carrying. An insurance advisor can help explain available options and coverage limits.
People may not realize all the factors influencing the cost of their boat insurance. A personal insurance advisor can guide you through boat insurance to find the best balance between coverage and cost. An independent insurance agent can quote multiple insurance carriers to find the best boat insurance policy customized for you.
Understanding Agreed Value and Actual Cash Value for your boat
Knowing the distinction between Agreed Value (Replacement Value) and Actual Cash Value is important when purchasing boat insurance. Your choice affects the boat insurance cost and how quickly you can get back on the water after an accident or boat damage.
Agreed Value or Replacement Value coverage means the policy will cover repairs or replacement up to the stated amount. Your boat insurance policy can restore your boat to a new condition or completely replace it.
Actual Cash Value coverage means your boat’s replacement cost depends on its depreciated value. With the increasing boat costs, this option may not fully cover the cost to replace or repair your boat with similar features.
Discuss the options with your agent. They can help you understand the differences and make the choice that is best for you.
What does a basic boat insurance policy cover?
One of the most common questions is, “what does boat insurance cover?” Boat insurance includes three basic coverages for damages to your boat, other boats, other’s property, and liability coverage. You can also add comprehensive coverage for added protection.
Common boat insurance coverage options include:
- Collision damage coverage: for repairs or replacement of damage to your boat
- Property damage liability: for damages, you may cause to another watercraft, dock, or someone else’s property
- Bodily injury liability: for injuries to yourself or others as a result of using your boat
- Comprehensive coverage: A basic policy may or may not include comprehensive coverage.
Consult with your insurance agent to determine what’s included or considered an add-on to your policy. Either way, it adds an extra layer of protection beyond collision. Similar to comprehensive auto coverage, it protects your boat from non-collision damage like fire, theft, or vandalism.
Talk to your insurance advisor about your boat insurance coverage limits and exclusions. That way, you’ll fully understand what your policy includes and how much it covers.
Will My Insurance Cover My Boat if it is Stolen?
Did you know that a comprehensive boat insurance policy will cover the loss of your boat if it is stolen? The National Insurance Crime Bureau reported 4,461 boat thefts alone in 2022.
Personal watercraft insurance is often discussed because Personal Watercraft, such as Jet Ski® and WaveRunner® models, frequently appear among the most commonly stolen watercraft. Also high on the list are Runabouts, which include speedboats and outboards.
To read the full list, go to 5 Most Stolen Boats
Some people rely on basic boat liability insurance and collision insurance for their boats and watercraft. But ask yourself—where is your boat parked: in your yard, or at a local boat launch, or marina?
How easy would it be for someone to hop in your boat or tow your trailer away with your favorite leisure-time possessions? Check with your insurance agent to make sure you are covered with boat theft insurance. It’s an easy call for that added peace of mind. Some marinas or clubs may require New Hampshire boat insurance or Vermont boat insurance before they let you \dock.
What are additional boat insurance coverages?
There are ways to provide extra coverage for additional exposures to your boat insurance policy. Examples of common policy add-ons are:
- Equipment breakdown and towing
- Wreckage recovery
- Additional fishing equipment coverage
- Personal property coverage
- Uninsured boater coverage
- Additional personal watercraft insurance options for certain watercraft and recreational vessels
Insurance discounts for boat insurance
- Bundling your boat insurance policy with your home or auto
- Certification of completing a boater safety course
- Installed boat safety equipment
- Discounts for hybrid or electric boats
Boating offers hours of fun throughout the warmer months. Are you looking for a boat insurance quote? We can help. If you have questions about your current policy, please give us a call at 800-392-6532.
This post is for informational purposes. The details and conditions of insurance policies vary. We always recommend speaking with an agent to understand the terms of your existing policies and the policies you plan to purchase.
