Do I Need Boat Insurance? A Comprehensive Guide to Protect Your Investment

Connecticut law does not require boat owners to purchase or maintain liability insurance, but it's still a good idea to get boat insurance. Comprehensive coverage will protect your boat from theft, hail damage, and other hazards while it's in storage. Plus, you won't have to worry about reactivating your policy when you're ready to get back in the water. Some insurers will allow you to cancel certain coverages if you prefer.

Only Arkansas and Utah have boat insurance requirements, so if you live in another state, the answer is no. However, it's still wise to get coverage. If you plan to dock your boat at a marina, they may ask for proof of insurance before signing the contract. Liability insurance also covers your legal fees if you're sued for an issue covered by the policy, such as a boating accident.

Boats may be covered by a homeowners policy, but there are usually limits on the size and value of the boats that can be transported with that policy. A lender may also require boat insurance if you're financing the boat, and many marinas also require protection if you're going to dock there. If the bank uses the boat as collateral for the loan, they'll ask you to include them as a beneficiary for any loss or damage to the boat. In some cases, your home insurance will cover repairs to your boat trailer if it gets damaged while on your property. If you damage your boat or cause injury or damage to another person, you can file a claim with your insurer asking them to pay for the damages.

Boat insurance provides additional liability protection for your car, home and boat, such as additional insurance in case you're sued for a costly boating accident. You can add boat liability coverage to your home insurance policy for an additional fee.

How Much Boat Insurance Do I Need?

The amount of boat insurance you need depends on several factors, such as the age, engine size and value of your boat, lender requirements, marina requirements, state requirements and intended use. If you have a larger, faster boat like a yacht, you'll need to purchase a separate boat insurance policy. Boat insurance is an important investment that can help protect your vessel from theft, damage and other hazards. Even if your state doesn't require it, it's still wise to get coverage so that you can enjoy peace of mind while out on the water.

Jerri Ament
Jerri Ament

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