You know the basics of yachts — and then some — but do you know the basics of yacht insurance and what it covers? OC yacht insurance offers essential protection for many of the most common liabilities you might encounter out in the water. Yacht insurance isn’t one-size-fits-all, so it’s critical to understand what kind of policies and coverage you need. A boat builder will need a different policy than a marina owner, but this insurance can cover both. Read on to learn what you should know about yacht insurance and why it might be essential.
Who Is It For?
Many people can benefit from a yacht insurance policy. Yacht owners have this policy to cover themselves from liability. Consider all of the risks that emerge when you are operating your vessel. It would be best if you did not discount the possibility of a collision. Additionally, if you have passengers on your boat, the chance of injury liability should be a serious concern. Yacht insurance is thus beneficial for anybody who owns, operates, or builds boats.
What Does It Cover?
Every yacht insurance policy is different, and you should customize your coverage according to your needs. Still, a policy may cover standard liabilities such as damage from a collision and medical expenses from an injury. In some cases, a policy will also extend to provide reimbursement for stolen property. This coverage has two separate parts to the policy. One part is the protection and indemnity insurance. Also, the other part is the hull insurance. The former covers a wide breadth of maritime liabilities, and the latter covers damage to the vessel.
Are There Any Exceptions?
Although a yacht insurance policy can provide expansive coverage, there are usually a few exceptions that insureds should be aware of. You generally won’t be covered for general wear and tear that results from the normal use of your vessel. Scratches, dents, marring, and design defects are also likely excepted from coverage. To protect yourself against these forms of deterioration, you should invest in regular maintenance and avoid any activities that may cause damage to its exterior.
When Should I File a Claim?
If you have a yacht insurance policy, you also are dealing with liability that may necessitate a claim. It is essential to consider when a claim is needed. Minor, low-cost damage can result in higher insurance premiums if you make claims for minor incidents. Conversely, this may cost you more than the out-of-pocket expense. If you experience any incident that involves an injury or extensive damage to your vessel, this is an appropriate time to take advantage of your coverage and file a claim. In these cases, a claim can shield you from the cost of the incident.
About Mariners Insurance
Mariners General Insurance Group was founded in 1959 to protect boat owners and marine business clients. We are marine insurance experts and insure boats worldwide – in every ocean on the planet. Marine insurance is critical if you own a boat or nautical business. Trust the professionals with all of your Boat Insurance needs – trust Mariners Insurance. Call us at (888) 402-5018 any time you have questions or concerns about insurance for your vessel or marine business.
