Boat Insurance – Is it worth the money?

There’s no doubt that boating can be an expensive hobby, but like all great pass times, for boating enthusiasts the sense of freedom and exhilaration while on the water make any expenses of owning a boat well worth the money.

There is however an extra cost associated with boating that some might not originally consider – insurance. We explain what most boat insurance covers and does not cover, as well as give advice if it’s something that you’ll for your boat in this post.

Is my boat covered under my home and contents insurance?

With most insurance providers include very limited coverage (if any) of property damage for small boats like under home and contents insurance. Coverage is normally capped at one or two thousand dollars including the boat, motor and trailer combined. They do not cover liability coverage for injury to third parties but this may be able to be added as an endorsement to an existing policy.


What does boat insurance typically cover?

For larger watercrafts include boats with 4 stoke engine and yachts (including jetskis) a dedicated marine insurance policy must be taken out.

Comprehensive boat insurance policies typically all cover these things:
•    Vandalism or malicious damage to the boat
•    Liability coverage for any injuries caused to another person
•    Accidental damage
•    Emergency towing
•    Fire, flood or storm damage
•    Theft or attempted theft.

There are also many optional extras for coverage including contents insurance on your boat, liability cover for water skiing and floatation devices.

What factors influence how much you will pay?

The value of your boat, the size and type of the boat and what waterways it will be used will determine the cost of your boat insurance premium.


Many policies don’t cover moored boats, while some include exclusions from damage caused by striking a submerged object. Accidental damage caused by engine overheating or mechanical failure is also a common exclusion as is the amount you can claim from theft.
So is boating insurance really necessary and worth the money? For the recreational boater we really think so. If you’re just getting about in a dinghy or inflatable dinghy on the odd occasion you might be able to do without it, but for people with a boat of greater value, or more frequent boaters, some form of boating insurance (at the minimum third party coverage) should be taken out.

As for is insurance worth the money? For the people that have had to make a claim most definitely. Otherwise the costs they could have been up for could have been particularly frightening. The payouts that protected their boat and damage caused to others certainly meant that at least in their eyes it was worth the money.

For boat sales, servicing and repair, call into Holt Marine, you one stop boating shop here in Brisbane.

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