Apr 26, 2018 | John Casagrande

The NJ's Boat Owner Guide To Boat Insurance

If you own a boat and enjoy taking it out on New Jersey’s 127-mile coastline, we must first say, we envy you! With an additional 1,792 miles of shoreline, lakes, waterways, and bays, there are endless opportunities to be out on the water.  Whether you enjoy sailing, fishing or just cruising around, owning a boat makes sense when you live in the Garden State.  To give you some additional peace of mind when using your boat, it’s important to get the facts on boat insurance in NJ.

What Does Boat Insurance Cover?

Unlike car insurance, marine insurance is not required by law. Because of this, coverage varies greatly between insurance providers. Always work with a knowledgeable insurance agent so that you get a policy that covers your specific needs.

Here is a quick refresher on coverage types for watercraft:

  • Liability. Known as Protection & Indemnity (P&I), this coverage helps pay for damage or injury caused by your boat. For example, if your boat spills fuel into the water, you are responsible for the cleanup. If someone were injured on your boat, you might have to pay more than just their medical bills. Damage to other vessels is also included.

  • Medical Payments. Goodwill insurance that will pay regardless of fault to your guests for medical bills incurred as a result of an injury on your vessel.

  • Hull Insurance. Hull Insurance coverage protects your vessel if there is physical damage, including sinking, a collision with another vessel, a submerged object, docks or other fixed objects. Other potential losses include theft, lightening and other perils of the sea.  

  • Salvage. Another form of coverage that is normally included covers the cost of salvage. If your boat washed up on someone else’s property after a hurricane, you would be responsible for the removal. If your vessel were to sink in a channel, the Coast Guard would require you to remove your vessel.

  • Fishing gear. If fishing is a serious hobby, you probably have the fishing gear to match. Consider insuring your equipment in case it becomes lost, damaged, or stolen.

  • Emergency assistance. Similar to a AAA service, this coverage includes gas delivery, towing and assistance in case you are stranded.

  • Navigation Limits. Pay particular attention to the dates that you select to “lay up” your vessel in the off season and the territorial limits of the area you navigate in. Both these selections affect the premium you pay and will eliminate all coverage if your vessel is operated outside the operating period and territory.

What are the Advantages to Boat Insurance?

Don’t look at marine insurance as another bill. Just as you wouldn’t drive your vehicle around without insurance, you shouldn’t do this with your watercraft. A boat is a major investment, and the benefits of having insurance outweigh the cost.

  • Peace of mind. Go out on the water and have the peace of mind that you, your guests and your boat are protected. Collisions and speed injuries are all too common these days.

  • Affordable and flexible. Marine insurance is flexible and includes a wide range of liability limits, deductibles, and additional coverages. This makes it easy to choose a policy you can afford.

  • Protects valuables. If you have expensive fishing equipment, you can get full coverage if it falls off the boat. It’s not just equipment that is covered, but personal items like phones as well.

  • Encourages use. It’s hard to enjoy something when you worry about the liability. You didn’t buy a boat to watch it sit there. Enjoy taking it out no matter the time or day. Your investment is protected.

Danskin Agency offers boat insurance for those with a boat or personal watercraft. To learn more about our coverage types, call us today.