Every state may not require boat owners to carry insurance on their vessels. This, however, may not relieve owners from financial responsibility if their boat causes damage to someone else’s property. To protect themselves and their investments, boat owners may obtain a standard boaters insurance policy and temporary boat insurance.
Standard Boat Policies
Standard boat insurance policies may cover a boat owners liabilities for damages to property or injuries to people while driving or transporting the boat. Policies may also include coverage for damages to the boat itself resulting from vandalism, accidents on land or in the water and even damage from storms.
Some standard boat policies may limit coverage to the boat owner and individuals listed on the policy as regular drivers of the boat. This may mean that loaning a boat to someone who is not listed on the boat policy can result in denial of coverage if an accident occurs.
Temporary Boat Policies
Since it may be impossible for boat owners to determine in advance who they may decide to lend their vessels to in the future, some insurance companies offer umbrella policies that can provide temporary boat insurance for individuals who borrow other peoples boats. These supplemental policies can be purchased by boat owners and may provide coverage to individuals not listed on the original insurance policy.
Understanding your insurance coverage and limitations can be important. A knowledgeable insurance professional can assist you with choosing the right coverage for your circumstances.