If you only use your boat for a few months, you may ask whether you should maintain boat insurance all year through. If my boat spends most of the time parked, is it not sensible to cancel my insurance to save money? While canceling your boat insurance halfway may seem like a cost-saving strategy, it can be expensive in the long run. Compass Insurance in Centennial, CO has the answers as to why you should maintain boat insurance all year long.
Most risks don’t have an off-season.
You may be off the hook with collision risks, but your boat isn’t safe from perils like fire, theft, falling objects, and vandalism even though it’s parked. That said, please invest in boat insurance all year through to protect your boat in and out of the water.
It may be required
If a loan finances your boat, your lender will likely require you to invest in boat insurance all year through. Always read through your loan agreement to see your obligations regarding boat insurance.
For peace of mind
If you don’t have boat insurance, you will likely worry about perils that may damage your boat. And even if you have home insurance, coverage is only up to $1,000. I am sure your boat costs more than this. If you don’t want to spend sleepless nights thinking about your boat, please invest in boat insurance.
Most insurance companies entice policyholders with reduced deductibles for every claim-free year. If you cancel your boat insurance halfway through, you will end up paying the full amount of deductible. Also, think about the cost of repairing or replacing your uninsured boat. Will your savings for not paying for your boat insurance be sufficient to cover the financial loss?
You don’t need all the boat insurance policies when your boat is parked. You can maintain comprehensive coverage but strike out liability and emergency coverage policies. If you are still unsure how to manage your boat insurance policy in Centennial, CO, please get in touch with Compass Insurance.