Recreational boating allows boat owners to enjoy a wide variety of outdoor activities, including fishing, waterskiing, and even kite sailing. Thus, boat insurance not only helps you protect your investment but your favorite pastimes, as well. However, boat coverage has a number of facets, and it’s important to understand the ins and outs. To clear things up, here are answers to the most frequently asked questions. 

Common Questions About Boat Insurance

What does it cover?

Boat insurance works much like auto insurance, covering property damage, bodily injury, and physical damage to your boat in the event of a collision on the water. Like home insurance, it also covers you if someone is injured on-board. Boat insurance may also cover theft, flood, fire, and vandalism losses while your craft’s on the water.

Is boat insurance required by law?

In many states, boat insurance is entirely optional. However, in Arkansas, if your boat has an engine of 50 HP or greater, you must purchase at least $50,000 of liability coverage. The same is true for all personal watercraft, including Jet Skis® and Sea-Doos®.

Why else might you need boat insurance?

Other than the financial benefits you enjoy from insurance coverage, you may need to purchase boat insurance if you're financing the asset. Your lender will almost certainly require you to buy coverage to protect their interests. Also, marina management may require liability coverage to protect the docks and other boaters' properties before they’ll rent you a boat slip.

Is your boat covered when it's not in the water?

Many policies let you lay up or suspend coverage during the off-season because your insurance policy normally doesn’t cover your boat when it's out of the water. However, your home insurance and car insurance policies provide some amount of protection. Your auto policy covers the vessel to some extent while you're towing it, and your homeowners insurance covers it while it's stored for the season — although perhaps not to its full value. Consider an umbrella policy to make up the difference. 

For effective, affordable boat insurance, reach out to Phil Taylor Insurance Agency, a trusted and experienced team in Clarksville, AR. They were the 2015 recipient of the Clarksville Johnson County Chamber Small Business of the Year award because of their dedication to the community and quality service. In addition to boat insurance, they also specialize in auto, home, motorcycle, and renters insurance. Visit their website to learn more about how they can help you protect your most valuable assets, or call (479) 754-2616 to request an insurance quote today.