What you Need to Know about Boat Insurance

If you are thinking of getting a https://www.mcdougallinsurance.com/recreational-insurance/boat-insurance/ provider, it is highly recommended that you separate it from your homeowner policy. Most homeowner’s policies have limited coverage when it comes to small watercraft. It is better to get a separate boat insurance policy.

Boat insurance provides coverage in case of damage or loss to your boat. The coverage includes most motorized watercraft such as fishing boats, yachts, and paddle boats. However, it does not include kayaks and canoes.


Boat Insurance Coverage

  • Property damage liability – This covers potential damage you might incur on other people’s boat, property or structure such as docks or piers.
  • Collision damage – This refers to the repair or replacement of your boat or parts of it. However, some policies do not cover the clean-up of the wreckage. In this case, you may need to contact your boat insurance representative for an additional policy.
  • Comprehensive coverage – This provides compensation in case your boat is stolen, vandalized or damaged except from collision.
  • Body injury liability – It covers any injury you might cause others while using your boat. It also takes into account of medical bills, pain, legal expenses, and lost income.
  • Additional coverage – This includes medical payoffs, oil spills, fishing equipment, personal property, roadside assistance, and damages or injuries from accidents caused by others.


Before purchasing a boat insurance, you need to determine the amount of coverage for your boat. In case of an accident, theft, damage or loss, you can file a claim and collect payment for it. The compensation you may receive will depend on the value and terms of your insurance policy.

The cost of a boat insurance varies depending on the place you live in, the size, type, and age of your boat, type of motor, and where you intend to use it. You can ask your boat insurance Ontario provider for a breakdown of the cost and expenses.

There are some ports that require you to have a boat insurance or liability coverage to dock your boat in their pier. In case you plan on purchasing a boat on loan, another likely requirement is to have a boat insurance. In case of accidents, it covers both owner and passengers.

Although passengers are covered under the policy, it may or may not include water skiers pulled behind the boat. Make sure you discuss this with a professional insurance representative to know more about risk management.

Comprehensive boat insurance protects you from theft but personal belongings lost inside the boat may not be covered, depending on your policy. As a policy holder, it is your responsibility to list down and identify the valuable items and assets you wish to include in your insurance policy. If you live in an area that is prone to tropical storms, hurricane, tornadoes and other natural disasters, you may ask your insurance provider for additional coverage policies.

Some contracts include engine damage which is determined by how old the motor is. The terms vary depending on the insurance company as some may have damage exclusions. You may claim reimbursement for replacement costs but it may be subject to depreciation.

Before purchasing a boat insurance, it is important to know and understand all the details, terms, and policies. Discuss your plans and risks with your boat insurance Ontario provider.


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