10 Most Common Boat Insurance Claims

For Florida boat owners, being out on the water is one of life’s true pleasures.

But sometimes things don’t go as planned. Some incidents happen often enough to give all boat owners reason to pause and wonder: does my boat have insurance?

If you’re in the market to buy a boat, marine insurance is one of the most important things to consider during that process.

While boat insurance isn’t required in Florida, it’s a sound strategy to purchase a policy. No one can predict what will happen out on the water, and even the most careful captain can encounter difficulties on the waterways. Marine insurance exists to bail out boat owners during what could otherwise be a financial disaster or the loss of your boat. 

What’s more, the coverage offers peace of mind. Every time you head out on the water, know that you’re protected by the invisible but vital coverage of Florida boat insurance.

Why do I need boat insurance?

Accidents happen.

Boats collide. They sink. They hit docks, break their tethers during storms, experience a crushed t-top when the tree they’re parked underneath drops a huge branch. The list is long, and a Florida marine insurance advisor will have plenty of stories to share that prove coverage is truly imperative.

Boat collision insurance is a popular coverage option, because the reality of a craft crashing into yours (or the other way around) is a possible one. Stories about such instances are widespread. If you collide with another boat and your passengers or the other boat’s passengers are injured, you could be sued. You could be taken to court for medical expenses and more. The correct marine insurance coverage will mitigate the damage.

Homeowners insurance isn’t enough.

When you’re out on the water, you’re going to need the specialized coverage that only a solid marine insurance policy provides. And before you worry about sticker shock, it’s likely less expensive than you might think. Partner with a Florida marine insurance advisor who has access to A-rated markets and understands how to combine coverages into an entire package, and you can find comprehensive coverage without breaking the bank.

What does boat insurance cover?

As with most insurance coverage options, you can make your boat policy an a la carte combo of what is important to you as a boat owner. You’ll have different types of insurance to choose from. Partnering with a seasoned marine insurance advisor will take much of the work off your plate.

Different types of boating insurance include:

Collision

When two crafts collide, the results can be disastrous. There can be a loss of life, a loss of property, or, at the very least, the need for repairs on the craft. Purchase boat collision insurance (hull and liability coverage) to safeguard yourself against these costs. And remember: It’s not enough to say that you’ll just be ‘extra careful’ out there on the water. A collision takes two captains to occur – and that other boat driver may not be as experienced or careful as you are. They also may not carry insurance, leaving the financial burden on you.

Comprehensive

Comprehensive insurance (included in hull coverage)on your boat includes vandalism and theft. When you leave that expensive navigation equipment or personal items on board you’re leaving yourself open to possible theft. In fact, your entire boat could be taken or damaged through vandalism – intentional or natural. Comprehensive coverage provides the money needed to restore the boat to shipshape condition. 

Liability

Don’t skip this coverage; if you’re found liable for loss of property or physical damage to another person, a claim against you for liability can be in the millions. This will even cover your defense costs if that becomes necessary.

The 10 Most Common Boat Insurance Claims

We’ve compiled some common Florida boat insurance claims in order to show you how beneficial it continues to be for boat owners.

1. Hurricanes

Floridians live with the threat of these mega storms on a regular basis. Some common insurance claims having to do with hurricane damage include boats improperly secured on lifts and vessels that are damaged by storm debris.  Most marine policies have an increased deductible for Named (or numbered) Storms.  

2. Windy Weather

It doesn’t take the wrath of a hurricane to damage a boat by weather. Tornados can wreak havoc on a boat, and a windstorm strong enough to turn objects into projectiles can severely damage a boat.

3. Sinking (as the result of a covered loss)

Recovering a boat that has sunk underneath the water can be majorly expensive; that is, unless you carry boat insurance that covers this unfortunate event.  

4. Hitting Underwater Objects

Even the best viewfinder doesn’t always function perfectly. Hit an underwater object, and the damage to your hull may render your craft useless. What’s more, that underwater object can result in the sinking of your boat.

5. Fire and Explosion

A fire or explosion can completely total your boat. Imagine not having insurance in this situation; you would have no recompense and would have to count your vessel as a complete loss.

6. Collision With Another Boat

This is a very real possibility. It’s so important to carry boat collision coverage (hull and liability coverage) for legal and financial purposes alike. An accident in which both boat owners carry insurance is going to be much less devastating on the pocketbook than one in which neither (or just one) has it. Remember: a court can order you to pay damages to another party, even if you cannot afford to do so. Cover yourself in case this does happen, and you safeguard not only your current bank account, but your future earnings as well.

7. Grounding

Running a boat aground is unfortunately common; thanks to the ever-changing levels of tides, it’s easy to misjudge or forget that certain parts of the waterways are not deep enough. Rescuing and repairing a boat that has run aground requires some specialized assistance – and that can be expensive if paying out-of-pocket.

8. Equipment Theft

Even the most careful captain (and your crew) can forget to remove equipment from a boat. If you regularly stow expensive items aboard, protect the collection by insuring it.

9. Boat Theft

Should your boat be stolen, Florida boat insurance can make the sting a little less severe. You’ll be able to purchase a new vessel to continue your exploration of the Sunshine State waterways. Otherwise, you’ll be left with a boat lift or trailer that stands empty until you can save enough money to purchase a new vessel.

10. Lightning

This is covered by marine insurance when you purchase hull coverage.  It’s a huge risk factor for Florida boats and replacing your navigational equipment can be quite costly.

Contact W3 Insurance for a quote

Hopefully, this article inspires you to do the right thing for yourself and your passengers: purchase a marine insurance policy. It’s not a luxury; it’s protection. W3 is here to help so that you select the coverage that’s right for you and your boat. Contact W3 today for a quote.