Triple-I: Boat Show Attendees Have Coverage Options


For immediate release
Michael Barry, 917-923-8245,



NEW YORK, Jan. 23, 2023—With boat shows being held this week in Louisville, Houston and New York, the Insurance Information Institute (Triple-I) reminds prospective boat owners to secure the right type and amount of coverage when buying a recreational vessel.


Boat insurers typically assess risk and price their policies based primarily on the boat operator’s operational experience; the boat’s make, model, age, and value; and the boat’s primary cruising areas, also known as navigational territories.


Beyond covering a boat owner in the event of theft, boat insurance policies typically provide coverage to repair a boat if it is accidentally damaged or destroyed due to a collision or because the boat struck a submerged object.  Property damage to a boat caused by fire, vandalism, a windstorm, or lightning are also typically covered under most boat insurance policies. However, you may need to purchase separate windstorm and storm surge coverage for your boat in hurricane-prone states such as Florida.


Other coverages incorporated into boat insurance policies may include: 


  • Damage your boat caused to someone else's property
  • Medical payments for injuries incurred by either the boat’s owner or its passengers
  • Hurricane haul-out provisions to keep the boat out of harm's way and dry-docked before a windstorm 
  • On-water towing and assistance for unexpected breakdowns or running aground
  • Fuel spill liability protection for damages caused by a boat's accidental discharge
  • Personal effects coverage for expensive equipment (e.g., fishing gear)
  • Ice and freeze coverage for damage to a boat's engine and water systems


The winter months are a good time for existing boat insurance policyholders to review whether they have policies which address these three issues, according to Triple-I.


Agreed Value versus Actual Cash Value policies: Ask your insurance professional if your policy provides either Agreed Value (AV) or Actual Cash Value (ACV) coverage. An AV policy means you and your boat’s insurer have agreed on the value of your recreational vessel. In the event of a total loss, you will be paid that amount. ACV coverage is typically less expensive than an AV policy but only pays up to the value of the boat at the time the boat was either lost or damaged. Depreciation and wear and tear are factored into the claim payout’s amount if you have an ACV policy. 


Lay-up period: Make sure your boat is covered during the off-season. Even when a boat isn’t in the water, there is still the risk of property damage.


Navigational territory: Ask your insurance professional if this issue is specifically addressed in your boat insurance policy. If you are navigating the boat in a territory not specified in your policy, you may not be covered if something were to happen there.




Article: Boat Insurance and Safety

Video: Boat Insurance Basics

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