Marine insurance policies are designed to cover loss or damage caused to boats and other watercraft. They vary according to the type of vessel being covered. The most common types of Private & Pleasure Boats:-
- small craft
- canoes and dinghies
- personal watercraft – for example, jet skis
- ski boats
- power boats
- yachts and sail boats
- narrow boats
- motor boats
- cruisers
- House boats (including boat conversions).
The types of cover that exist?
Cover may be defined by the vessel’s area of operation. If so, the most common areas of operation that are insured are while the vessel is:
- Out of water and onshore – for example, in the marina, in a garden or at a boat club. This is called “laid up cover”;
- In rivers, canals and lakes;
- In inland estuaries and coastal waters (usually within a 12-mile limit around the coast);
- Being used in other specified areas, such as the Mediterranean;
- In oceans worldwide (but even with the widest cover there may still be restrictions or exclusions relating to certain areas at certain times of the year).
Cover may also be defined by the period in which the vessel is kept in use. For example – most speed boats should be taken home, or at least out of the water, during certain months of the year (the exact dates can usually be selected but are generally November to March). During this time they should be protected from the elements and from the risk of the engine seizing due to lack of use. Other types of vessels, in contrast, will be in commission for 12 months of the year.