Are you looking for affordable insurance? This question can
apply to general insurance or more specifically, for your boat.
This happens on a daily basis as you can imagine. Boat coverage is a little
different than let’s say, the general auto insurance policy or quote.
The reason being is, you may only use your boat or vessel seasonal.
Your personal vehicle, you more then likely use to get you to and from work.
Unless you live in an area where boating is the biggest form of transportation,
an automobile is the more common means.
So, no matter if you live in in Anaheim CA or Los Angeles CA, you may have questions.
Usually, you will find that combining both your Boat with
your automobile insurance policy will be your best bet to save you money.
Most large general insurance companies can provide both policies
and save you on a multi policy discount.
You will want to make sure that the provider you are comparing rates
with offer the right options for your boat protection, since not all do.
What does vessel coverage mean to you? Great question because
it covers damage to the actual boat or the loss of a vessel.
In some cases, this coverage can extend to the cargo that is on the
vessel, the docking area for the vessel, the terminal the vessel leaves from,
as well as any damage caused by the transfer of the cargo from the
boat to another means of transportation or storage.
This is an important factor if you are hauling
cargo because not all policies include this coverage.
General Quote – Qualifying Vessels
If you’re wondering what type of boats qualify under
this coverage program, wonder no more.
This is since it can include anything from your personal jet ski boat to a commercial size boat.
Boat, or marine coverage as it is sometimes called, covers a variety of boats.
Just as homeowners coverage can cover anything from a mobile home to a mansion.
This type of protection can cover the simplest boat
to large commercial fishing and transportation vessels.
The differences in premium costs are based mostly on the
replacement value and repair costs of the type of vessel you own.
Marines are one of those luxury items that go down in value as
soon as you buy them, just like brand new cars.
It is virtually impossible to sell a boat for the amount you paid for it.
Because of this, coverage takes into consideration the replacement value of
the vessel as well as how much is owed on the vessel itself. This is
referred to as hull coverage, meaning the boat itself is covered.
So, now that you understand that what type of boat you buy or
own will have a direct impact on your premium.
Now your ready to compare quotes.
Make sure to do this before you actually buy your vessel. This way you
know exactly how much you need to budget in monthly or annually.
Since most vessel policies are less expensive than an auto policy,
people will normally pay in full. This is helpful advice
if you just want to pay and forget about your coverage.
If you already own a boat but the cost factor is way over budget,
you may want to look at bundling your polices together.
This is how many people find the cheapest car insurance, bundle and save.
For example, if you have a homeowners policy and auto insurance policy
separately insured, you may want to look into packaging them all together with the same company.
In most cases, this will offset any extra costs you may wind
up paying if you were to separate them.
It is always beneficial to work with an agent or broker who you
trust and who specializes in the types of coverage you need.
Compare Insurance Coverage
If you are looking to compare rates for both programs you may want to
to find an agent or broker who works with many companies
instead of a captive agent who only represents one company.
A captive agent can only show you the rates for a single carrier
and you may not be getting all the savings and discounts available
to you if you were to compare your rates with multiple companies.
Payment Billing Schedule
Another important question is what type of coverage is available
if the loan on your vessel is paid off, and you own it free and clear.
In that scenario, you may not want to continue paying
for hull coverage as is required by most lien holders.
If this is the case, you can purchase just a liability policy
on your marine insurance policy.
It may be tempting when your boat is paid off to go without
coverage, but it is not worth the out-of-pocket expense.
Liability Coverage Alone
A liability only policy will not cover damage done to your vessel.
But it will cover another individual’s property that is damaged by your vessel.
It will also cover any bodily injury medical expenses of another
person that happens on your boat or because of your vessel.
This type of coverage will cover you against lawsuits due to personal or property damage as well.
If you choose to go this route, be sure you have the money to
repair or replace your vessel if needed since coverage will not cover this.
Exceptions of your Policy
In addition to property damage and personal liability, a liability only policy
will also cover the removal or salvaging of your marine in certain situations.
These situations include fire, sinking, fuel spills, and grounding.
You can add a rider that also covers dock liability.
Dock liability coverage provides for legal proceedings or law suits that
you may face from damage done at marina or dock,
or if you break your contract with your dock or marina.
Program Coverage Options
If you need additional coverage options not listed below,
there are programs that can fit your needs.
The below information is the basic or standard coverage
options that you will find on your boat policy.
Many coverage options are available to you and your boat but,
not all insurance companies offer these types of options.
This is good reason why you should compare your rates with multiple carriers.
This is because you wouldn’t know the difference in coverage options unless you did compare.
A special option not available to all insurance programs is seasonal coverage options.
Meaning, if you only use your marine during certain times
of the year, why should you pay for protection when it is stored.
Optional Policy Features
This alone can save you tons on your policy.
However, make sure the program you purchase offers this protection.
Other discounts are available on certain policy.
Below we have listed the most common.
There are discounts that will honor your experience or
association within the industry so, make sure to ask beforehand.
In some cases, your military experience will also help save you money, just ask for it.
As you have noticed, insurance buying is like ordering
off a menu. The way to do that is by knowing whats on the menu first.
Just because you contact a big name company doesn’t
mean they are necessary the right fit for your needs.
This is where you need to do your homework and get
educated on what you need to protect your investment.
Just like with auto insurance, if you have tickets or accidents,
yes you can get tickets while operating your watercraft.
If you fall in this category, then you may need all the discounts
you can get. In some cases, the discounts can offset
your driving record which is always nice.
High Risk Selection
However, you may also find some programs who will not accept
your risk if you have too many tickets or if they consider you to be high risk.
Don’t worry because there are insurance programs that specialize in high risk marine craft.
You may pay more on your premiums but if you find the
right program, with the right discounts you can reduce your costs.
High Risk Insurance Quotes
Normally, if you fall into this group of high risk coverage, your
best bet is shop a local insurance broker who can compare rates in your area.
They can help search free cheap insurance quotes online or over the phone for you.
They understand your market better than most and when you
go about it alone online you may be paying too much for coverage.
This happens because you don’t shop for coverage everyday.
So, this is not familiar territory. Worst yet, you may not even
know where to start or worse, you maybe shopping in the wrong market.
Coverage Insurance Factors
All of these factors just increase your cost factor so,
get some help if you looking for the right coverage program.
Listed below are the discounts available on
most standard average insurance programs.
If you don’t see a certain discount, just ask for it and if not
offered you may want to continue shopping. This way you can find
out the average cost of boat insurance for example before you actually buy.
Bottom-line, compare boat insurance rates and quotes,
and check to see what does boat insurance cover for each rate.
Discount Options Available
Just like buying the right pair of shoes, the agent or broker
on the other end doesn’t know your style or size.
So, help them help you buy sharing exactly what you are
looking for and if you have tickets or accidents, let them know.
They act like an accountant, looking at all the ratings factors to get you exactly what you need.
Personal Insurance Coverage Tips
As you have learned, there are many options available as a
boat owner and more importantly if you already have an auto insurance policy in place.
Take all these in consideration when comparing rates before you begin your search.
These factors can save you not just money but any gaps in coverage.
Cheap auto insurance now shouldn’t cost you later for example.
Specialty General Insurance Markets
Not every company big or small will specialize in this type of protection
Some may even have riders or underwriting requirements before you can buy.
Some of these underwriting guidelines might mean which areas you can take your watercraft out on.
Some lakes or areas of water are off-limits and if you were
to take your marine out in those waters, no coverage would follow.
The General Knowledge Base
Your agent or broker may even ask what areas you take
your craft out too, so they can include it on your policy for coverage.
If not listed in some cases, no coverage would apply.
Always make sure to see what bodies of water are off-limits.
This information can be easily found on your policy under guidelines or conditions.
Your insurance agent or broker should also review this information with you to avoid any future confusion.
On another note, make sure you read your policy thoroughly.
General Permissive Use
Some programs do not allow for permissive use,
meaning no one other than the name insured can use the marine.
Unfortunately, we have seen many people misunderstand this provision.
Or it wasn’t explained at the time they bought their coverage.
Now they are completely without coverage on their destroyed watercraft.
This can be so disheartening, especially if you paid on
your policy for exactly that, coverage.
Helpful Insurance Tips
A helpful tip if you already have an active car policy,
is to contact the provider and see if they offer marine protection.
If so, ask for a rate and then begin your search for a cheaper insurance rate.
This way you have a number to compare boat insurance, or cheap car quotes.
It is important to make sure the coverage options are also the same when shopping quotes.
If you are not comparing oranges to oranges then you are definitely
going to be in for a surprise, and not a pleasant one to say the least.
Like we described above, always make sure to ask questions if you do not know.
Always compare the same coverage options with each quote you receive.
Make sure no underlying riders exist that would affect your coverage.
If you should need any helping comparing cheap boat insurance quotes,
or need to bundle your California insurance then call Peninsula General.
We understand specialty markets, it’s our niche. This means savings to you.
We do the legwork for you because we know you have better things to do with your time.
Call a licensed agent at 877-539-2533 for your free auto quote and free boat insurance quotes!
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