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Boat Insurance

Old 03-27-2020, 10:25 PM
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Still looking for a boat. Hoping to find one I can pay cash for. Is insurance universally necessary/desirable?

May potentially purchase new and if so I would certainly insure against loss or damage.

When on the road with a trailered boat does your truck insurance cover liability issues?

Is liability coverage necessary or desirable when on the water?
Old 03-28-2020, 04:33 AM
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Originally Posted by spiritof62 View Post
Still looking for a boat. Hoping to find one I can pay cash for. Is insurance universally necessary/desirable?

May potentially purchase new and if so I would certainly insure against loss or damage.

When on the road with a trailered boat does your truck insurance cover liability issues?

Is liability coverage necessary or desirable when on the water?
you definitely want liability insurance
on the road your car insurance may take care of the trailer but you need to verify
but it wont help you with the boat
Old 03-28-2020, 05:21 AM
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The cost of insurance is a drop in the bucket compared to the other expenses associated with boat ownership. Also the liability if you hit another boat, have an accident involving injuries or get hit with environmental costs it could be a staggering amount of money. Unless you’re in a position where you could shell out huge amounts of money I wouldn’t run an uninsured boat.
Old 03-28-2020, 05:25 AM
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All of the above. Plus, most insurers let you add trailer insurance for small money. I know SeaTow has trailer care as well real cheap. Lastly, most marinas will want to see you have an insurance policy and keep it on file for all of the above scenarios, should you think about docking the boat.
Old 03-28-2020, 06:04 AM
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Once you sink it at leak fuel and oil into the water, the EPA will take the shirt off your back if you are not insured.
Old 03-28-2020, 06:06 AM
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do you have renters/homeowners insurance?

auto insurance?

umbrella insurance?

or are you anti-insurance???
Old 03-28-2020, 06:44 AM
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Originally Posted by mystery View Post
do you have renters/homeowners insurance?

auto insurance?

umbrella insurance?

or are you anti-insurance???
I have all of the top three...
Old 03-28-2020, 07:03 AM
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You always have the option to self insure
Old 03-28-2020, 07:18 AM
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Insurance has been one of my main properties this last week. Shopping for my almost completed boat.
I've been searching high and low for insurance and here are my thoughts;
  • Insurance has totally got out of hand - Quotes for my boat have ranged from $11k to 40k PER YEAR
  • Most of these quotes require SHED storage for named storms. That ranges $50-$70 per foot to reserve spot and another $40-$60 per foot to store when a storm is named
  • If your having friends and family on boat you need liability insurance. I've always carried $1m as it just takes one person to slip and fall (just the world we live in)
  • Some boaters have tragedies and others from pure stupid but with "qualified captain" on Instagram and the theft tag of face look (love both groups btw) has really given a face to all the insurance claims that are taking place. Florida is large pool of insurers but also a large pool for thief, loss, and fraud.
I did end up finding an insurance company to do it for a reasonable rate (under $10K) but it took a week of making calls to various brokerages shopping.
The boat lives on a lift behind the home and the insurance seems to be willing to allow a hurricane plan with me staying on lift.
For you that think I'm crazy to stay on lift - I've had several of my boats on lifts for many of the recent named storms and have not had any issues.
Straps are required and your lift must go HIGH

Last edited by tripsTOquads; 03-28-2020 at 07:29 AM.
Old 03-28-2020, 07:28 AM
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I've owned boats since high school, a long time ago, and have never had insurance on any of them but one, and that was a charter boat kept in a marina. When growing up on Key Biscayne with many many boat owners I never knew anyone who had insurance. That was a different era. Now, for some reason all the THT'ers seem to think it's mandatory. But, I suppose most of them also finance their expensive play toys instead of paying cash for a boat they can afford.
Old 03-28-2020, 07:33 AM
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Originally Posted by KBH View Post
I've owned boats since high school, a long time ago, and have never had insurance on any of them but one, and that was a charter boat kept in a marina. When growing up on Key Biscayne with many many boat owners I never knew anyone who had insurance. That was a different era. Now, for some reason all the THT'ers seem to think it's mandatory. But, I suppose most of them also finance their expensive play toys instead of paying cash for a boat they can afford.

And people use to drive home from the hospital with new borns in moms arms, in the front seat. Whats your point? Good ole days? lol
This statement couldn't be farther from the truth. My 38' I owed CASH.. So I spend $150k on a boat in cash - I go to the Bahamas and mid trip a hose from a intake breaks.
The intake is 1-1.5" and brings a lot of water and the boat sinks. Now what??? I paid $150k for a boat in cash and didn't spend $5k a year to insure it?? Not smart.

Some how the THT always goes back to paying cash or your an idiot. People do not think.
Old 03-28-2020, 07:35 AM
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Originally Posted by spiritof62 View Post
I have all of the top three...
so what makes you think a boat is any different ?
Old 03-28-2020, 07:46 AM
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My homeowners insurance allows me to add a watercraft liability addendum to the policy if the boat is under a certain size. In my case 23ft. The marina had no issue with the coverage and total cost is less than $150 a year. I bought a $20k boat and for loss, I self insure.

First year cost me nearly half the cost of the boat just to outfit and operate. That is when I decided insuring for loss didn't make sense at this level. It is like adding collision insurance to a $1000 winter beater. Definitely get liability. Trailer is covered by auto and have towing coverage on SeaTow and auto.
Old 03-28-2020, 08:18 AM
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Originally Posted by BackEastDon View Post
My homeowners insurance allows me to add a watercraft liability addendum to the policy if the boat is under a certain size. In my case 23ft. The marina had no issue with the coverage and total cost is less than $150 a year. I bought a $20k boat and for loss, I self insure.

First year cost me nearly half the cost of the boat just to outfit and operate. That is when I decided insuring for loss didn't make sense at this level. It is like adding collision insurance to a $1000 winter beater. Definitely get liability. Trailer is covered by auto and have towing coverage on SeaTow and auto.
problem with using homeowners is if you make a boat claim that goes against your homeowners. why people put their homes at risk i dont understand but plenty of people take home equity lines to buy a boat. poor decision.
Old 03-28-2020, 08:20 AM
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I hate insurance. But I buy it anyway.
Old 03-28-2020, 08:23 AM
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Originally Posted by mystery View Post
problem with using homeowners is if you make a boat claim that goes against your homeowners. why people put their homes at risk i dont understand but plenty of people take home equity lines to buy a boat. poor decision.
Plenty of examples where if you make a claim, your insurance goes up. Hell, insurance goes through the roof even if you don't make a claim when there is a major loss due to weather and such. Seems such an odd argument plus can always change carriers. Not sure how I put my home at risk seeing that I paid cash for my boat and never mentioned taking an equity loan ever. In this case, doesn't seem reading comprehension is your thing. If your were not addressing me, I'd appreciate you not quote me in the comment.
Old 03-28-2020, 08:48 AM
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Originally Posted by BackEastDon View Post
Plenty of examples where if you make a claim, your insurance goes up. Hell, insurance goes through the roof even if you don't make a claim when there is a major loss due to weather and such. Seems such an odd argument plus can always change carriers. Not sure how I put my home at risk seeing that I paid cash for my boat and never mentioned taking an equity loan ever. In this case, doesn't seem reading comprehension is your thing. If your were not addressing me, I'd appreciate you not quote me in the comment.
i know plenty of people that had small homeowners claims of $5-20k for legit covered events to their homes (e.g. small fire, tree falling onto roof, theft), and they could not find anyone willing to insure them or they could find an insurer at 10x the cost. so why risk your home / its insurability over a boat?
Old 03-28-2020, 08:48 AM
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Originally Posted by tripsTOquads View Post
And people use to drive home from the hospital with new borns in moms arms, in the front seat. Whats your point? Good ole days? lol
This statement couldn't be farther from the truth. My 38' I owed CASH.. So I spend $150k on a boat in cash - I go to the Bahamas and mid trip a hose from a intake breaks.
The intake is 1-1.5" and brings a lot of water and the boat sinks. Now what??? I paid $150k for a boat in cash and didn't spend $5k a year to insure it?? Not smart.

Some how the THT always goes back to paying cash or your an idiot. People do not think.
40 years of boating and never had the need or use for insurance other than required by a marina. No claims and no boat damage. I'm sure I could buy a quite nice new Freeman with the money I've not spent on insurance.

And I've got no problem with people that finance boats. Just the people that have boats worth more than their house and people that have nice shiny new boats that don't have 2 months worth of rent or house payments to cobble together during bad times or a layoff. Mostly what I consider common sense and that has nothing to do with your nonsense about babies in cars.The need for insurance is obviously also based on the size and value of the boat. I feel quite comfortable self insuring. Even if I lose my boat, it's not going to create a financial hardship in the least.

Old 03-28-2020, 09:03 AM
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Originally Posted by mystery View Post
i know plenty of people that had small homeowners claims of $5-20k for legit covered events to their homes (e.g. small fire, tree falling onto roof, theft), and they could not find anyone willing to insure them or they could find an insurer at 10x the cost. so why risk your home / its insurability over a boat?
How's that expression go, your mileage may vary. Every state handles insurance differently. Even with my business, I have to deal with how different states deal with workers comp and liability. Noticed you didn't address the non-sequitur comment about an equity line that no one was discussing.
Old 03-28-2020, 09:52 AM
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Originally Posted by BackEastDon View Post
How's that expression go, your mileage may vary. Every state handles insurance differently. Even with my business, I have to deal with how different states deal with workers comp and liability. Noticed you didn't address the non-sequitur comment about an equity line that no one was discussing.
buying a boat with a home equity line is akin to insuring a boat under homeowners: you are putting your home at risk, over a boat. what more explanation do you need?

and sure, its YMMV, i never said it was 100%, you put the words in my mouth. perhaps, you should consider your own comment about reading comprehension??

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