Why have boat insurance

[livemusic]

Do you insure your boat? If so, why? (If you're financed, I suppose you have to have it, so, that answers the question.)

 

The first boat I ever owned was in the early 1970s. I do not recall if I actually had boat insurance or if this was covered by my auto or homeowners but I kind of sunk the boat, lol. A freak storm came up on Table Rock lake and this boat was a stick steer Kingfisher with a 70hp Evinrude and I recall it as being a 15 ft boat. Whatever it was, those giant waves were too much and rather than lose it in the open sea, I headed for the nearest land. Problem was, the land was full or giant rocks. Which beat my Kingfisher up real bad. Rainwater and water splashing over the transom sunk the stern. It's mind-blowing I cannot remember exactly how this went down but, obviously, we must have flagged someone down after the storm because this was before cell phones. Got to the marina and I recall the owner as being able to pull it out of the water somehow or knew someone who could. And I guess he knew someone who could fix it. Had to fix all the fiberglass that was bashed up and also overhaul the motor, since it got wet. Insurance covered it, I do recall that, and that boat went on to live many years after. Point being, thank goodness for insurance!

 

Also, accidents happen on the water just like land and if other insurance does not cover, ugh, if you have an accident and hurt your boat, yourself or somebody. What do you guys do, insure or not? I wonder what percentage of boat owners insure.

[Dogfish_Jones]

I have it on my boat, I would not want to NOT have it either. Being I have invested over $60,000 in my boat, I sure want to make sure it is covered from any major accidents.

Another reason is, I fish in tournaments that require you have insurance on your boat, mainly medical/personal property but I have chose to make sure my boat is covered from everything else.

With all my graphs, rod/reels, lures, I also have all that covered in case of theft. It sure makes life a little easier knowing you are covered.

[Sir Shamsalot]

Absolutely. Anything can happen on the water. For example, my aunt and unkle where crossing the lake one night and hit another boat that didn't have their nav lights on. Technically, it was the other boaters fault, but my unkle got stuck with the bill for the repairs to both boats.

[InfantryMP]

I have it. I got it specifically for tournaments because they require it. I also think that any investment you have should be insured. A lot of times, it can go right in to your insurance portfolio for very cheap. It makes it kind of a no brainer in my opinion.  I shop around every year for new insurance rates. I have always been able to get my rates for everything lower year after year!

[TnRiver46]

I have it but they won’t insure boats over 20 years old so I only carry it on one boat and it’s an 08 so I guess I won’t have it forever. I had a boat stolen once and made a claim, also ripped off a lower unit on a Boulder and made a claim. 

[Miabucman]

Yes, I have insurance on my boat.  It seems that the lakes are getting more crowded every year and I want to make sure that I am covered for anything.  Also, I have to show proof of insurance during a tournament. My boat is super old but the cost is not that bad to have it covered.

[Mbirdsley]

For a free boat I have almost $8000 into it.  There’s that and a tow bill on the Great Lakes is going to cost $400 an hour the moment the tow boat casts of lines if you break down out in the lake.  So if I were to break down 7-10 miles out chasing salmon, trout, or walleye you can see how it will add up quick. I have progressive and it covers towing within 75 miles of the U.S.   I believe it covers roadside towing or a blow out also.  I think $750,000 liability which, crap happens at least they won’t sue myself they will go after the insurance. 

 

only thing progressive doesn't cover is tackle and rods not under lock and key.  For all of that it cost $120 a year.  One tow will more than cover $120 for years to come 

[livemusic]

13 minutes ago, InfantryMP said:

I have it. I got it specifically for tournaments because they require it. I also think that any investment you have should be insured. A lot of times, it can go right in to your insurance portfolio for very cheap. It makes it kind of a no brainer in my opinion.  I shop around every year for new insurance rates. I have always been able to get my rates for everything lower year after year!

 

Do you go with one insurer for your various policies each year? You change each year? Interesting.

8 minutes ago, TnRiver46 said:

I have it but they won’t insure boats over 20 years old so I only carry it on one boat and it’s an 08 so I guess I won’t have it forever. I had a boat stolen once and made a claim, also ripped off a lower unit on a Boulder and made a claim. 

 

Is that right? What about medical and liability coverage, surely you can get that on a 20+ year old boat?

[A-Jay]

Boat insurance is only legally required in a few states, however purchasing a boat insurance policy with comprehensive and collision coverage protects my bass boat against physical damage.

Also, if I'm liable in a boating accident, liability coverage will pay for the damages or injuries I caused;

which can & does add up fast. 

I have a policy with Progressive through USAA

(they offer a very veteran friendly rate)

and it covers just about everything including the trailer. 

IMO it's a small price to pay for peace of mind.

https://www.progressive.com/boat/bass-boat-insurance/

 

A-Jay

 

[TnRiver46]

4 minutes ago, livemusic said:

 

Do you go with one insurer for your various policies each year? You change each year? Interesting.

 

Is that right? What about medical and liability coverage, surely you can get that on a 20+ year old boat?

Maybe, I don’t guess I inquired further. 

[Jigfishn10]

For $275 per year on a boat I paid well over 100x more than the policy is worth....why not have it?

[gim]

Each state is different on boat insurance.  Be sure to check if its required based on the state you reside and/or keep the boat in.  Obviously its a requirement if you are still paying off a loan for it or you fish tournaments.

 

I have full replacement coverage on my boat through Progressive.  Minnesota actually does not require boat insurance, which I find to be odd considering we are the land of 10,000 lakes and there's more boats here per capita than any other state in the country.  Regardless, I would never NOT have it because its dirt cheap.  A full policy costs me 200 bucks/year and the value never depreciates like it does with auto insurance.  I used to have Foremost but they jacked up rates across the board and my agent shopped around and got me Progressive instead.  Similar policy at a 33% lower rate.

 

My policy covers anything that is physically attached to the boat.  Tackle and other gear is covered under a separate rider policy.  I have never submitted a claim.

 

If you had a junker boat that wasn't worth very much, maybe it wouldn't be worth having.  But if your watercraft has any kind of reasonable value, its worth having.

[J Francho]

I've always carried an insurance policy.  It was required for tournaments.  Seemed like a no brainer to me.  I don't recall it being very expensive, less than $600/yr.

[gim]

I should mention that growing up one time I did hit a large boulder with my family's Crestliner Fish Hawk tiller and completely sheered the lower unit off.  That was scary, and I was only going about 20 mph.  It was a 4-stroke Yamaha 75 hp outboard and my parents had boat insurance so I had to fork over $250 of my hard earned teenager-job money for the deductible.  We got a brand new outboard out of it, but that is the sort of experience that taught me a lesson: boat insurance is important.  If we had not had it, I would have been on the hook for about $8 grand to pay for a new outboard.

[Tennessee Boy]

I would never ever considerer not having liability insurance on my boat or any other vehicle.  Your potential liability loss is basically your net worth and a good portion of your future income if you don't have insurance.  

 

As for comprehensive,  my rule of thumb is I carry it on any vehicle with a value over $10K.  The $10K number is based on my financial situation.  Everyone is different is this regard.

[GaryH]

I would not go without having  insurance on my boat no more than not having it on my vehicles or house. I have it all rolled into one policy with a umbrella coverage.

The piece of mind is well worth any cost.

[softwateronly]

In such a litigious country I can't imagine risking everything for avoiding >$300/yr. in liability coverage.  No offense to any lawyers...well some.

 

 

scott

[Tennessee Boy]

4 minutes ago, softwateronly said:

In such a litigious country I can't imagine risking everything for avoiding >$300/yr. in liability coverage.  No offense to any lawyers...well some.

 

Yeah.   I was on a jury a few years ago.  A woman got rear ended at an intersection.  There was no damage to her bumper.   Her kid was in a car seat in the back seat playing with an iPad and didn't even drop the iPad.   She was asking for $300,000 for pain and suffering.

[Sam]

You can do these things when contemplating purchasing direct damage and third-party legal liability for any watercraft.

1.  You can absorb the physical damage pure loss exposure and defend yourself and pay any court awards for third party liability claims out of your treasury.

 

2.  You can avoid the exposure by not buying the boat.

 

3.  You can reduce the probability of loss by taking the boat from the safety of its storage facility and using it only between the hours of 1 and 2 AM on the mornings of each Tuesday of the week on a private pond with no other boats or obstacles in the water.

 

4.  You can transfer the risk of loss to a rich relative or friend.

 

5.  You can transfer the risk of loss to a professional risk taker, such as an insurance company and purchase an unilateral contract of adhesion with a small assumption of loss on your behalf.

 

Question: You tell me how much damage you can do to your watercraft, motor, and trailer plus the tow vehicle and who you are going to injure or kill due to your negligence on the water or to and from the ramp and I can tell you how much insurance you need to protect your assets.

 

For me, it is easier and cheaper to drop the claim on Progressive than to hire attorneys to handle the liability case or contract with a repair shop to make repairs to my equipment.

 

Carry the highest limits you can afford, including a Personal Umbrella Policy over your homeowners, renters, auto, and boat primary insurance limits of at least $1,000,000.

1 hour ago, A-Jay said:

Boat insurance is only legally required in a few states, however purchasing a boat insurance policy with comprehensive and collision coverage protects my bass boat against physical damage.

Also, if I'm liable in a boating accident, liability coverage will pay for the damages or injuries I caused;

which can & does add up fast. 

I have a policy with Progressive through USAA

(they offer a very veteran friendly rate)

and it covers just about everything including the trailer. 

IMO it's a small price to pay for peace of mind.

https://www.progressive.com/boat/bass-boat-insurance/

 

A-Jay

 

X2

[A-Jay]

11 minutes ago, Sam said:

You can do these things when contemplating purchasing direct damage and third-party legal liability for any watercraft.

1.  You can absorb the physical damage pure loss exposure and defend yourself and pay any court awards for third party liability claims out of your treasury.

 

2.  You can avoid the exposure by not buying the boat.

 

3.  You can reduce the probability of loss by taking the boat from the safety of its storage facility and using it only between the hours of 1 and 2 AM on the mornings of each Tuesday of the week on a private pond with no other boats or obstacles in the water.

 

4.  You can transfer the risk of loss to a rich relative or friend.

 

5.  You can transfer the risk of loss to a professional risk taker, such as an insurance company and purchase an unilateral contract of adhesion with a small assumption of loss on your behalf.

 

Question: You tell me how much damage you can do to your watercraft, motor, and trailer plus the tow vehicle and who you are going to injure or kill due to your negligence on the water or to and from the ramp and I can tell you how much insurance you need to protect your assets.

 

For me, it is easier and cheaper to drop the claim on Progressive than to hire attorneys to handle the liability case or contract with a repair shop to make repairs to my equipment.

 

Carry the highest limits you can afford, including a Personal Umbrella Policy over your homeowners, renters, auto, and boat primary insurance limits of at least $1,000,000.

X2

I really enjoyed that.

A-Jay

[Deephaven]

I have insurance to cover my crap if it gets destroyed, an umbrella because I know if I hit someone they will be a prima donna who drives a bentley on land, and mechanical coverage.  Travelers insurance covers the motor along with the boat really cheaply.  The deductible isn't little, but if I pop my high hour motor I can get it fixed pronto.

[evo2s197]

Having insurance is part of being a responsible adult.

[TnRiver46]

12 minutes ago, evo2s197 said:

Having insurance is part of being a responsible adult.

True. But insurance ain’t quite what it used to be either, they are the kings of the lowball nowadays . I’ve had many friends get into year long battles with sleezy insurors after storms blew their houses away or knocked trees right into the living rooms 

[InfantryMP]

2 hours ago, livemusic said:

Do you go with one insurer for your various policies each year? You change each year? Interesting.

Yes I group all of my insurance needs together. Multi policy discounts can save a ton of money. 

 

I shop around every year for new insurance rates. I have been through Geico and Liberty Mutual and Progressive over the last few years. 

[J Francho]

Liberty Biberty! Lol.