When deciding what type of insurance to purchase for your boat, it’s important to do the research of what type of coverage is required by your state for your boat or yacht.
To get started, the defining factor is generally that boats are defined as 26’ or smaller and yachts are 27’ and larger. The size determines the amount of water coverage that they can go into. Boats are usually limited to inland waters and yachts can go into large bodies of water which includes longer mileage.
Insurance coverage for both generally include physical damage, liability and personal property.
Boat insurance includes coverage above and because a boat is smaller than a yacht, the policy is based on the local water areas the boat will be used. When purchasing boat insurance, an agreed upon value of the boat is what the policy will be based upon.
Yacht coverage also includes everything that a boat will but coverage for natural disasters such as hurricanes and tropical storms is added. Also, yacht insurance includes to coverage as well as wreck removal because of their large size.
With a boat or a yacht, it’s important to purchase the insurance as a separate policy from an existing homeowner’s policy so that specific and maximum coverage will cover that of the boat or yacht. Most homeowner’s policies do not include enough coverage to adequately cover dame or liability.
Compass Insurance, serving Centennial, is knowledgeable about all areas of boat and yacht insurance and can provide you with information about how much coverage you need to ensure that your water vessel is adequately covered. Visit our website or call us at 303-996-9000 today to talk to one of our agents and find out additional information or ask questions.
