So you have your swim trunks, and your flippy floppies – YOU’RE ON A BOAT! We just hope it’s covered with American Insurance Services! With summer on the horizon, he is a quick NJ boat insurance refresher for those of you sailing this summer.
Homeowners insurance and renters insurance provide limited coverage for property damage for canoes and small sailboats or powerboats with less than 25 horsepower, according to the Insurance Information Institute. Coverage is usually about $1,000, or 10 percent of the home’s property value, and generally includes the boat, motor and trailer. Liability coverage can be added as an endorsement to a homeowner’s policy.
Boats that are 26 feet or longer or more than 50 horsepower require separate boat insurance, Wilson says. Agents and companies are going to look at the size, type, value, use of the craft and your experience operating a boat when setting a premium. This is why it helps to go through an independent agency who can shop multiple carriers.
Boat insurance includes bodily injury, property damage (caused to someone else’s property), guest passenger liability, medical payments and theft. Typical policies include deductibles of $250 for property damage, $500 for theft and $1,000 for medical payments, according to the Insurance Information Institute. The typical deductible is 1 percent of the insured value.
For more information about NJ boat insurance feel free to give us a call at (732) 680-4444!