| You might not have thought about it, but boat | | | | of replacing the vessel, engine and the boat trailer |
| insurance is probably the oldest kind of insurance | | | | but Actual Cash Value boat insurance plans only pay |
| there is. The Marine Insurance Act ensures all marine | | | | for replacement less any vessel depreciation from |
| craft like boats are legally obliged to have insurance | | | | the point of loss. When the craft is a complete |
| cover. As with car insurance, policies come with an | | | | insurance right-off then the second hand value of the |
| excess to discourage small claims and for boat | | | | boat is used to estimate its market value. Optional |
| insurance, this is usually quite a large sum of money, | | | | insurance usually includes coverage for reasonable |
| as the intention of the insurance is to cover you | | | | repairs, emergency services to your boat, motor, or |
| against substantial losses instead of just scratches | | | | boat trailer, and wreck removal. Where there has |
| and dents. There is little difference between the two | | | | only been limited damage to the vessel, partial |
| types of policy except the amount of cover | | | | damage repairs include the restoration less any items |
| provided with boat insurance is considerably larger. | | | | that can be deducted. |
| Almost all states make the standard boat insurance a | | | | Agreed amount value boat insurance policies mean |
| requirement so it is important to abide by the law | | | | that the owner of the boat and the insurance |
| and obtain boat insurance as soon as you become a | | | | company have decided on the cost of the boat, and |
| boat owner. Strangely, in the eyes of the Marine | | | | in the aftermath of a total loss the owner will be |
| Industry, a houseboat is in the same category as | | | | compensated with that amount. Agreed amount |
| pleasure boats like sailboats, jet boats and cabin | | | | value policies also replace old objects with new ones, |
| cruises for instance. A speedboat for instance, is | | | | exclusive of any assumption for depreciation. The |
| capable of high speeds requires a much different | | | | majority of agreed amount value boat insurance |
| type of insurance than a small fishing vessel would | | | | policies necessitate actual cash value on specific |
| because of the potential liability for the insurance | | | | destroyed assets like sails, protective covers, |
| company that comes with a speedboat compared to | | | | batteries, dinghies, trailers and aged outboard motors, |
| a fishing boat. | | | | lower drive units etc. |
| Almost all boat insurance policies will cover the cost | | | | |