Does Homeowners Insurance Cover Boats and Watercraft?

Can homeowners' insurance be utilized if a boat is damaged?

A homeowner's insurance policy offers limited coverage if your boat or other watercraft is destroyed or vandalized. If your boat, Jet Ski, or other watercraft is broken or damaged by the following, you will only be compensated up to $1,000 under the terms of the majority of policies:

Fire
Wind
Explosions
Hail
Theft
Vandalism
Dropping items

Surprisingly, your homeowner's insurance will cover the theft of your boat, but only up to $1,000.

There is a strange requirement regarding hail damage that the watercraft must be within a building for the damage to qualify. For instance, if your boat or PWC was outdoors during a hailstorm and was destroyed, you could not make a homeowners insurance claim. However, if the building or storage enclosure had broken glass that allowed hail to enter and harm your boat, you would be protected.

However, if you file a claim, you will still be required to pay a deductible. Since homeowner's insurance coverage deductibles can be larger than or close to $1,000, filing the majority of claims would not make sense.

Private Property

If items on your boat are stolen or destroyed, you can likely submit a claim with your homeowner's insurance to recover your losses. For instance, if you carried a costly portable speaker on a trip and it was stolen, your homeowner's insurance would cover the loss.

Certain items may be more difficult to justify to your homeowner's insurance carrier. Your insurer may argue that a boat or personal watercraft insurance policy should cover elements unique to your boat. For instance, if your boat's audio system or built-in fishing equipment is destroyed, you may require boat insurance coverage to replace it. Below is some information regarding boat insurance.

Does homeowner's insurance liability cover watercraft accidents?

If you harm someone or cause property damage with your watercraft, your homeowner's insurance liability can help cover the resulting expenses. At least $100,000 in liability coverage is included in homeowner's insurance plans, which can be used for legal fees or restitution owed to the injured party. However, boats have size and horsepower restrictions that must be considered.

Regarding your watercraft, homeowner's liability insurance provides little flexibility. The boat must be quite small, and your Jet Ski is never covered. Obtaining a boat or personal watercraft (PWC) insurance policy will provide more comprehensive coverage for your boat or watercraft.

What is covered by yacht insurance?

Boat and PWC insurance offer a more comprehensive level of protection for your boat or PWC. Similar to vehicle insurance policies, boat and PWC insurance policies provide coverage for the vessel itself, liability coverage, and protection against uninsured boaters.

With these types of coverage, if your boat was damaged by any of the calamities listed at the top, you would be covered for the full worth of your vessel, not just $1,000.

Regardless of the size of the boat, the liability section of the policy will protect you if you harm someone or cause property damage. However, larger boats will generally cost more to insure.

You can add specialist coverages for any specialized equipment or accessories to your boat insurance policy. This can be useful if you fish frequently and have pricey fishing equipment. You may also insure trailers and anchors under your insurance. We propose that all boat owners purchase a specialized policy instead of relying solely on their home insurance.