A boat can one of the most expensive investments you make after your home and car.
And while (unlike car insurance) boat insurance isn’t mandatory, given the costs and risks involved in being out on the water it’s smart to be fully covered from when you take delivery.
Good Boat Insurance should protect your boat for its agreed value both on and off the water,
It should also cover the vessel anywhere in Australia against accidental damage, collision or crash, earthquake, explosion, fire, flood, storm, theft or attempted theft, tsunami, vandalism or a malicious act.
It’s important to make sure you have the right cover - here are eight essential items that should be included.
More detailed information on what’s covered and additional coverage can be found at NRMA Boat Insurance.
If your boat causes loss or damage to someone else’s property or death or personal injury to someone else you are liable.
Make sure you or anyone permitted to control your boat is covered.
Clean up costs
In the event of an accident at sea and your boat releases debris or liquids such as fuel you could be responsible.
Clean up costs can be expensive so make sure the policy covers you.
Also make sure the policy covers loss or damage to your boat if you need to take immediate action to deal with an emergency situation.
For example if your engine stops working after the propeller hits a rock, or the hull becomes damaged and you need to arrange the boat to be towed.
Most insurers cover funeral expenses for you or a family member who dies as a result of an incident covered in the policy.
This is usually on top of the agreed value.
It’s a good idea to read the fine print in the PDS.
Check to see if the boats hull is covered for an inspection if you hit a sandbank or a rock and you want to check if there's any damage.
Most insurers include a hull inspection.
Maritime rescue search
If anyone using the boat is lost or reported missing and a maritime rescue search is called you are liable for all costs.
Check to make sure you are covered, or partially covered for some of the costs of a maritime rescue service to search for and rescue anyone using your boat.
If your boat sinks or is stranded or catches fire, a good boat insurance policy should cover salvage costs.
A good policy should also cover the costs of storage of your boat that's been involved in an accident or is damaged, as well as towing costs to a repairer or a safe place if you are unable to tow the vessel safely.