14 Dec Common Boat Insurance Exclusions You Should Be Aware of
With boat insurance, you get coverage for damage to your boat, roadside assistance, towing service, and total loss replacement, on and off the water. However, like other policies, it also has some exclusions, and knowing them will help you keep your boat safe against such perils (to avoid damages that would otherwise lead to out-of-pocket expenses) and check if there are any additional endorsements to have them covered.
Common Boat Insurance Exclusions
Here are some common boat insurance exclusions:
- Animal & Insect Infestations
Boat insurance doesn’t cover damage or loss caused by mold, animals, and insects (such as termites, raccoons, barnacles, zebra mussels, etc.). So, ensure to take effective measures to protect your boat against such infestations. Keep your boat and its equipment clean and dry after use, as dampness or dirt (including spills) will attract mold and termites toward your boat and lead to damage.
Additional accessories like GPS systems, life jackets, anchors, and navigation gears, won’t be covered by boat insurance. You can buy personal effects coverage or supplemental boat equipment coverage to cover your boat accessories.
- Wear and Tear
Boat insurance won’t cover any replacements/repairs resulting from general wear and tear. So, make sure to keep your boat well-maintained to prevent wear and tear-related losses. Saltwater is one of the common causes of boat deterioration, so clean your boat regularly with fresh water to remove the accumulation of salt and other minerals.
- Faulty Machinery
A standard boat insurance policy doesn’t cover your boat’s spares or machinery that is damaged due to improper use, lack of maintenance, or mechanical defects. However, it will cover the machinery if it is damaged by a covered peril.
Also, it covers the damage caused by faulty machinery. For example, if your boat’s water pump bursts and causes flooding, boat insurance will cover the loss resulting from flooding, but does not repair or replace the water pump.
- Unnamed Operators
Boat insurance only covers damages caused by named operators on your policy. For example, if someone drives your boat and gets into an accident, the resulting loss will not be covered by boat insurance.
Boat insurance won’t cover special events like boating competitions and resulting losses. You can buy additional liability insurance to cover damage caused by collisions during the boat race or competition.
- Marine Creatures
Boat insurance does not pay for the damage caused by marine creatures, such as whales, sharks, octopuses, etc. If you often have to sail amid unruly creatures, ask whether your insurance agent can provide any supplemental insurance to stay covered against them.
- Damages Outside Navigation Limits
Boat insurance won’t cover you if you sail out of your navigation limit or geographic location. Have a navigator tool to accurately understand your direction on the sea, so you will not go off-limit.
- Incorrect Transportation and Storage
Boat insurance won’t pay for damages resulting from improper storage or transportation during the off-season. For example, if you keep your boat open in the storage unit and debris clogs your water pump and causes damage, it won’t be covered by boat insurance.
It’s always good to consult your insurance agent to learn what all things are not included in your boat insurance coverages.
Protect Your Boat with KSD Insurance
At Kevin S. Dougherty Insurance, we offer an all-inclusive boat insurance policy tailored to your marine activities. Contact our insurance professionals Kevin or Merci today to get started on your custom boat coverage or if you have any questions about boat insurance exclusions.
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