For boat enthusiasts, securing boat insurance should be a priority because you never know when accidents can happen while you are on the water. Just like car insurance, there are many factors to put into consideration that will determine the insurance coverage and cost.

The cost of boat insurance

When it comes to determining the cost of yearly boat insurance premium, the value of your boat is one of the factors that will influence the price you pay. Normally, it is 1.5% of the boat’s value. So for instance, the value of your boat is $40,000, then your insurance premium will be $600 per year or $50 a month. You can expect your insurance rate to raise if your boat costs more. Aside from the value of your boat, there are other factors that affect the insurance rate.

Driving Record

Your overall driving record matters because insurance companies are checking it as well. Companies are going to review your record to find out if you have been involved in reckless driving and DUIs. Having a poor driving record will result in having higher insurance premium. Be sure to keep your driving record free of any violations.

Boat Ownership

If you are an experienced boat owner, you will be able to get yourself a better premium. In essence, the more experienced you are in boat ownership, the lower your insurance rate, as compared to a new boat owner.

Boat Usage

Are you using the boat for parasailing? Expect your insurance rate to be higher than the boat owner who only uses the boat for a fishing trip.

Storage Location

Insurers will also take your storage location into consideration when calculating your insurance premium. You will have a lower insurance rate if you store your water vessel in a shed. The rates can be higher if your boat is stored on a dock because our area is hurricane prone.

Navigation Location

The navigation area can also affect your insurance premium. If you are going to take your boat nearby, the boat insurance premium will be lower. However, if you are planning to take out your boat in open oceans, the premium will be higher. Avoid taking your water vessel out for long trips as much as possible.

You can also get a much cheaper boat insurance rate if you consider taking a boat safety course. You can install safety devices on your vessel to protect your boat from an accident that might take place while on the water. Some of the safety devices that you may install are vapor or fire detector, an anti-theft alarm, or a fire extinguisher. These safety measures can reduce your boat insurance rate and give you better coverage.

You will gain peace of mind while taking out your vessel on the water if your insurance provider gets you covered. When shopping for boat insurance providers, be sure to understand the factors that determine your yearly insurance premium. You will be able to get the premium that suits your needs. As a boat owner, you will gain an advantage if you tick all the right boxes. For  more information about boat insurance contact us:

Herndon Carr Fort Myers
10501 Six Mile Cypress Pky #101
Fort Myers, FL 33966
Herndon Carr Cape Coral
1031 Cape Coral Pkwy
Cape Coral, Florida 33904
(239) 205-6072