Insurance on boats

[Kelly Hanson East]

Its another hidden cost of a keelboat - most marinas in the US will demand you have separate marine liability insurance on your boat. I wrap my boat insurance against loss into my homeowners at no additional charge - up to a 27 footer, same as noted above. Now that I am more knowledable I figure if I did lose the boat I would take the 1/2 settlement and buy used.

[Russ]

Some homeowner's policies will cover a boat under 26' which is most of us. Read the fine print though, it may not cover all of what you would expect.

I opted for Boat US insurance. They also rate you based on your experience and boating education. I think we pay approx $300/year and I know I'm covered by a company that understands boats. My homeowners adjusters may not understand the same way.

Liability is of course a biggie in addition to property. I have an umbrella policy on top of my auto/homeowners/boat insurance. In these litigious days, the minimums just don't cut it.


--Russ

[Chinook]

I started out with Boat US Insurance in 2002, and continued with them in 2003-04 when we spent a year towing our boat all around the country and sailing on a wide range of waters, including Florida and the Bahamas. At the time, the policy they provided was very expensive, around $900 as I recall. I was told that including Florida and Bahamas in covered waters drove the rates up, because of the high loss history for Florida. When we made plans to go to Alaska I was told by Boat US that they wouldn't insure us for the Inside Passage because their policy was to only insure boats over 28 feet and having radar for that trip. I switched to Safeco, which was happy to cover those waters. When we headed down to the Sea of Cortez I discovered that neither Safeco nor Boat US would cover us there, and thus switched to Progressive, which did offer coverage for those waters. After returning from there, I began researching insurance coverage for the Exumas, and found that neither Progressive nor Safeco would extend coverage that far offshore. I then contacted Boat US and found, to my surprise, that they now offer a policy, quite reasonably priced (I think in the $350/yr range), which will cover my boat in all 48 states, plus SE Alaska, plus Sea of Cortez, plus the Bahamas. This was very welcome news, and I will be returning my coverage to Boat US in time for our planned spring 2011 cruise to the Exumas.

[rgranger]

Me! I buy project boats and fix them up. I just purchased my 5th new2me boat a few weeks ago and I sold my Coronado 25 Sunday.

I figure I can get another project boat and fix it to my standards for a few thousand dollars so I only get liability insurance. I share Mike UK's fear of dinging somebodies very expensive boat... or what if the dock like comes lose and your boat sides up on someone elses and rubs for hours before you notice.

I get my boat insurance through State Farm and it is attached to my homeowners so I get a multi policy discount. But remember, Insurance companies don't really insure you.... your premium is more like a monthly payment for the privilege of taking out a loan if you ever need it. I dinged my truck a few years ago and my premium went up for 18 months. The difference was exactly what the claim was for. So I dropped comprehensive on my truck and I keep the difference in the bank. 18 months later I was ahead.

Someone on this thread mentioned towing insurance in case you run aground.... ? Don't we have swing keels. Maybe I'm cheap but I don't see the logic of paying a hundred dollars/year on the off chance that you might "save" $500 if you need a tow. Spend the money on a backup sail or a spare trolling motor and you won't need the tow.

That is my 2 cents and that's about all it worth anyway.

r