Watercraft Insurance - Coverage for Boats, Yachts, and Personal Watercraft

Your homeowners policy does not cover your boat. Not really. Most homeowners policies cap watercraft liability at $1,000 to $1,500 for boats under 26 feet with limited horsepower. No hull coverage. No coverage for larger vessels, jet skis, or anything you actually care about protecting. If your boat is worth more than a rounding error, you need a standalone watercraft policy.

Grit Insurance places watercraft coverage through multiple marine carriers for boat owners, yacht owners, and PWC owners across the country. Whether it sits on a lake, in a marina, or crosses open water - we find the right fit and make sure nothing gets missed.

Why Watercraft Need Their Own Policy

Boats create risks your homeowners and auto policies were never designed to handle. Here is what a standalone watercraft policy covers that your other insurance does not:

• Hull damage - Collision, grounding, sinking, storm damage, fire, and theft. Your homeowners policy provides zero hull coverage for your boat.
• Watercraft liability - If you injure a passenger, another boater, a swimmer, or damage someone's dock or vessel, your homeowners liability sublimit will not come close to covering the claim. A watercraft policy provides real liability limits.
• Environmental liability - A fuel spill from your boat can trigger cleanup costs in the tens of thousands. Standard policies exclude pollution. A watercraft policy covers fuel spill cleanup.
• Towing and salvage - A breakdown on the water or a grounding event means a tow bill that starts at $500 and goes up fast. Salvage after a sinking can run five figures. Your auto club does not cover boats.
• Passenger medical payments - Injuries happen on the water. Medical payments coverage pays regardless of fault, keeping your guests covered and keeping you out of a lawsuit.

The bottom line: if you own a boat, you need a watercraft policy. Relying on your homeowners policy is a gap that will cost you when something goes wrong.

What Watercraft Insurance Covers

A standalone watercraft policy covers the full range of risks that come with owning and operating a boat. Here is what a good policy includes:

• Hull coverage (agreed value) - The vessel itself, insured at a pre-agreed value. If the boat is totaled, you get the agreed amount - no depreciation argument, no lowball adjuster offer.
• Liability coverage - Bodily injury and property damage to others. Protects you if a passenger, another boater, or a swimmer is injured, or if you damage another vessel, a dock, or a seawall.
• Medical payments - Covers medical bills for you and your passengers after an accident, regardless of who was at fault.
• Uninsured boater coverage - Pays for your injuries and damage when the other boater has no insurance or not enough insurance. Think of it as uninsured motorist for the water.
• Personal effects - Covers fishing gear, electronics, wakeboards, tubes, and personal items on the boat up to a specified limit.
• Towing, assistance, and fuel delivery - On-water towing after a breakdown, fuel delivery if you run dry, and emergency assistance when you need it.
• Trailer coverage - Your boat trailer is covered for collision, theft, and damage while towing or parked.
• Environmental damage and fuel spill cleanup - Covers the cost to clean up fuel or oil spills from your vessel. Regulators do not care whose fault it is - the boat owner pays.
• Seasonal lay-up and storage - During the off-season, your boat still needs coverage for theft, fire, and storm damage. Many policies reduce premium during lay-up periods when the boat is out of the water.

Types of Watercraft We Insure

We place coverage for virtually every type of recreational watercraft. If it floats and you own it, we can insure it.

• Runabouts and bowriders
• Ski boats and wakeboard boats
• Pontoon boats
• Fishing boats - bass boats, center consoles, and offshore fishing vessels
• Sailboats
• Cabin cruisers and yachts
• Personal watercraft - jet skis, Sea-Doos, WaveRunners
• Houseboats
• High-performance boats

High-performance boats and larger yachts require carriers that specialize in marine coverage. We have access to those markets and know how to present the risk to get you the best terms available.

How Grit Places Watercraft Coverage

Watercraft insurance is not a one-size-fits-all product. The right policy depends on the vessel, how you use it, where you use it, and what else you own. Here is how we handle it:

• Multiple marine carriers - We shop your coverage across multiple carriers that specialize in watercraft. Different carriers have different appetites for vessel type, size, and use. We find the one that fits your situation and your budget.
• Agreed value coverage - We place agreed value policies so you know exactly what you get if the boat is totaled. No guessing. No depreciation surprises after a loss.
• Bundled with your full program - Watercraft coverage works best as part of a full private client program. We coordinate your boat, home, auto, umbrella, and collections coverage under one program so nothing falls through the cracks.
• Lake properties and waterfront homes - If you have a waterfront second home or lake property, we coordinate your watercraft coverage with your property and umbrella policies. The boat, the dock, the home, and the liability all need to work together.
• One team, one phone call - When you need to add a new boat, update coverage for the season, or file a claim, you call one number and talk to a real person. No phone trees. No bots.

Frequently Asked Questions

How much does boat insurance cost?

Roughly 1% to 2% of the boat's value per year. A $50,000 boat might cost $500 to $1,000 per year for full coverage. Larger vessels, high-performance boats, and ocean-going craft pay more due to increased hull value and liability exposure. Your location, boating experience, and claims history also affect the rate. We quote multiple carriers to find you the best price for the coverage you need.

Does homeowners insurance cover my boat?

Only minimally. Most homeowners policies provide $1,000 to $1,500 in liability for small boats under 26 feet with limited horsepower. There is no hull coverage. No coverage for larger vessels, jet skis, or high-performance boats. If your boat is worth anything or you take passengers on the water, a standalone watercraft policy is required to be properly covered.

Do I need watercraft insurance if I only use my boat on a lake?

Yes. Liability for injury to passengers or other boaters, hull damage from collision or storm, theft from your dock or storage lot - these happen on lakes just as often as on the ocean. If your boat is worth more than you are willing to lose out of pocket, insure it. Lake boating also means shared water with swimmers, kayakers, and other boats in close quarters. One bad moment creates a liability claim your homeowners policy will not cover.

Start With a Private Client Review

Watercraft coverage is one piece of your full insurance picture. The best way to make sure your boat, home, vehicles, and liability limits all work together is a full private client review.

Call us directly: (801) 505-5500

Or request a quote online and we will call you back.