Boat insurance is for motorized vehicles that operate on the water. In addition to sailing boats, the coverage is for jet skis, pontoon boats, yachts and fishing boats. The coverage does not include boats that require manual padding, such as canoes and kayaks. Most boat policies offer the same basic coverage, but there are some special options.
If the boat policyholder has an accident and a loss occurs, then some coverage can give the policyholder added protection. Specialized coverage can handle things such as having the boat towed in an emergency or having wreckage removed. Obtaining a specialized boat policy can save the policyholder thousands of dollars.
Boat owners might care about specialized coverage that covers total loss replacement. This option is for new boats that are up to one model year old. For older boats, coverage is usually for the actual value of the boat. Wreckage removal stipulates the insurance company pay for the removal of the wreckage if the policyholder has physical damage coverage. Roadside assistance is also generally a part of boat insurance policies. This means the policy pays if the boat needs towing.
Specialized coverage helps, but is not a mandatory part of purchasing boat insurance. Anyone interested in boat insurance should speak with an insurance agent. The agent can discuss the policy options in detail.