If you’re a boat owner in New York State, knowing what to look for in a boat insurance policy can save you money and protect your future. While boat insurance is not legally required in New York, it plays a critical role in safeguarding your assets if an accident happens on the water.
From liability coverage to physical damage protection, this guide breaks down what to know about boat insurance and how to choose the right policy for your needs.
Boat Insurance Is Essential
Unlike auto insurance, New York State does not require boat insurance. However, accidents on the water can lead to costly lawsuits, medical bills, and property damage. Even one collision or injury involving your boat could jeopardize your savings. That's why having proper liability coverage is so important. It’s your financial safety net.
Understanding Boat Insurance Coverage
Physical Damage Coverage protects your boat, engine, sails, trailer, and equipment from accidental loss or damage. Look for a policy that covers fire, theft, vandalism, weather events, and collisions unless specifically excluded.
Liability Coverage pays for bodily injury or property damage you cause to others. It may also cover oil spill clean-up up to a certain point, wreck removal, use of non-owned boats, and injuries to paid crew or marina workers.
Medical Payments covers medical expenses regardless of who is at fault. One tip is to check that the coverage applies during boarding, disembarking, and water sports.
Uninsured Boater Coverage protects you if you're injured by another boater who doesn’t have insurance.
Additional Coverage Options exist. Many policies include or allow for personal property protection, such as clothing, gear, fishing equipment, and emergency towing and labor.
Choosing the Right Liability Limit
Your liability coverage should match your risk exposure. For smaller boats under 26 feet, $500,000 is typically recommended. For larger vessels, especially those used in busy areas like Lake George, $1 million or more may be appropriate. Additionally, consider how many guests you typically carry and how often you boat in high-traffic waters.
Common Claims on New York Waters
Most boating claims fall into two categories: minor, like bumping into docks or other boats, and major, accidents causing serious injury or death. Even a low-speed accident can result in long-term legal or financial consequences. That’s why proper insurance is crucial.
How to Lower Your Premium
Insurers consider many factors when pricing boat insurance. Your insurance quote will ultimately take into account your boat value, type, length, and age, mooring and storage location, navigation limits and operating area, as well as your claims history and boating experience
To lower your premium, you can increase your deductible, limit your navigation area, request lay-up period discounts for the off-season, and install safety equipment. Additionally, it’s legally required for most New Yorkers to take a boating safety course to operate a boat as of 2024, however, your insurance may still offer you a discount for taking this extra precaution.
Now’s the Time to Review Your Policy!
Don’t set it and forget it. As your boating habits or financial situation changes, your insurance needs will too. Review your coverage annually to ensure it still protects your assets, and update liability limits as needed.
Have questions about what to know about boat insurance in New York? MetzWood is here to help. Get in touch, and our team will guide you through the process of selecting coverage that fits your lifestyle and protects what matters most.
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