Boat Owners Insurance 101

With summer fast approaching, people are gearing up for another great boating season. Boats are coming out of storage, fresh coats of paint are being added, and equipment is being replaced. One aspect of boat ownership that should not be neglected is boat owners insurance. Too many times, people don’t have the right amount of coverage and are left paying more than they would otherwise have to when something happens to their boat.

Your boat is a significant investment and therefore, you’ll want to protect it with the boat owners insurance that is right for you. Insurance for boats comes in many different options and when purchasing coverage, or renewing your current coverage, you should think about what is important to you. With the help of your insurance provider, you can make the right decision and find a policy that is affordable and comprehensive. Some coverages that you may want to look into include the following:

• Total Loss Replacement

Replaces total losses with the latest model (new-for-old) or, if not available, a comparable model. Available on new personal watercraft purchased within the preceding 13 months. Once the coverage is purchased, it can remain in place through the 10th model year. For personal watercraft 5 model years old or less at the time of a total loss, the insurance company will replace the personal watercraft with the latest model, or if not available, a comparable model. For personal watercraft older than 5 model years at the time of a total loss, the insurance company will pay the purchase price.

• Uninsured Personal Watercraft Coverage

Uninsured Personal Watercraft Bodily Injury Coverage pays for medical treatment, wage loss, and other damages sustained as a result of a personal watercraft accident where the liable boater does not have liability coverage.

• Actual Cash Value

The Actual Cash Value option is the most economical choice when it comes to insuring a personal watercraft. The Actual Cash Value is determined by the market value, age and condition of the personal watercraft at the time of the loss.

• Disappearing Deductibles

This coverage is included at no extra charge along with Total Loss Replacement and Agreed Value. Disappearing Deductibles provides a reduction of 25% in Comprehensive and Collision deductibles for each claim-free renewal period. When the fourth consecutive claim-free renewal period is reached, your deductible diminishes to $0. If a Comprehensive or Collision claim is paid, deductibles are reset to the selected level

• On-Water Towing and Labor

Pays for towing and labor costs on a reimbursement basis up to $1,000 per occurrence. You choose from the three available limit options: $300, $500 or $1,000. The labor coverage applies when it is performed at the time and place of disablement, while the personal watercraft is in the water.

• Agreed Value Coverage

In the event of a total loss, our expanded Agreed Value guarantee pays you the amount originally spent for the watercraft or the appraised value, with no deduction for depreciation and no deductible.


Each of these will meet a specific need and should be explored fully with your insurance provider. For detailed information go to www.selectinsuranceteam.com or contact one of our qualified representatives at 1-855-GET-SELECT (438-7353) for more information.