Why Should I Insure My Boat?

This must be a question many boat owners ask themselves when they purchase a boat since it is amazing just how many vessels are uninsured. Other boats are insured but they do not have adequate or appropriate cover for the type of vessel or usage.

A boat is an asset just like many other items. Homes, household contents, motor vehicles have insurance arranged on them almost without exception. Why is it, that for some people, boats appear to fall into a different category?

The other major considerations relate to liability for death, bodily injury or property damage to third parties. With boating incidents there is little difference from the exposures catered for under motor vehicle and compulsory third party insurance. At the moment, it is not compulsory to have third party insurance for boats but that time is fast approaching. Most marina operators are insisting on a minimum level of third party cover for boats using their facilities, particularly when slipped. That cover can normally only be secured with Marine/ Boat insurance.

There should be a greater sense of moral obligation to protect against incidents involving third party death/injury/property damage (for which a boat owner could be held liable), let alone the legal costs which can be payable in such cases.

The actual cost of boat insurance is by no means as excessive as some think it may be. When the protection for valuable assets and third party cover are considered, that initial cost is ‘JUST A DROP IN THE OCEAN’ compared with the consequences of not having insurance or being inadequately insured.

Peter Skirving,
AllBoat & Cargo.