Boating is a fun way to enjoy the warm summer months in North Carolina, but if you lack the proper insurance, you could be in trouble if an accident occurs. The agents at A Affordable Insurance Services can explore your boat insurance options to find a policy that provides you with the right amount of coverage. With their help, you’ll feel confident out on the water this summer.
3 Facts You Need to Know About Boat Insurance
1. It’s Separate From Your Home & Auto Insurance
It’s a common misconception among first-time boat owners that their home and auto insurance will provide all the coverage they need. But just as your car is not covered by your homeowners insurance, neither are motorized boats. For boats that are towed behind a car or truck, however, they are covered under your auto insurance policy during land transport. Once the boat is in the water, you need a proper boat insurance policy in place.
2. There Are Different Polices
Just as a car’s value depreciates, so does a boat’s. If you have a market value policy, and the boat is damaged beyond repair, you will only receive compensation for the craft’s current, depreciated value. This means you won’t have enough money to buy a brand-new boat—you’ll probably have to purchase a used one of a similar model instead. If you choose agreed value, however, you and the insurer set this amount up front. If something happens, that’s the amount you receive, regardless of the boat’s value at the time of the damage.
3. Your Policy May Have Location Limits
As previously mentioned, when you’re towing your boat on land, it’s covered by your auto insurance. In the water, you’re covered as long as you remain within your policy’s navigational limits. These limits will depend on your geographical location and the type of boating you plan to do. Some policies limit you to inland waters in the U.S., while others permit coastal travel.
Whether you already own a boat and are shopping for new boat insurance, or you're planning to make a purchase soon, contact A Affordable Insurance Services to see what kinds of rates they can get you. You can call their office at (704) 986-2222 or visit them online.