Boat Insurance

Boat insurance is insurance coverage for boats. It doesn’t include water vehicles such as rafts and canoes. Although a boat is operated on water, the insurance covers the boat both on land and in the water.

Boat insurance may be required for different reasons. For instance, some states make it mandatory to have boat insurance before taking the boat out on the water. If your boat is parked in a marina, the marina might require you to have insurance. And you will definitely want insurance if you operate boats in a commercial fashion.

Boat insurance policies work the same way other policies work. The policyholder files a claim, the insurance company checks the claim, and the company assists the policyholder if the claim checks out. The policyholder might receive cash to help replace an item or be given an item to replace the damaged or missing one. It all depends on the policy.

Types of Coverage

As a boat owner, you need to know about recreational boating insurance and commercial boating insurance. Commercial boating insurance is comprehensive. It involves the protection of commerce as well as the protection of the boat. Recreational coverage is more limited in what it includes.


Boating insurance is beneficial because of the financial protection that it offers. Most policies keep the driver from paying large out-of-pocket expenses. There is also the issue of legality, if the driver of a boat needs to comply with a regulation.