If you operate a charterboat you will need to find adequate commercial boat insurance coverage. The law places a large responsibility on the owner of the vessel, extending beyond any property that may be damaged by the boat to include any damages created by negligence which has been interpreted to include any situation where staff or a passenger are unintentionally hurt.
Due to this broad interpretation of the law charter boat owners need to carry two types of coverage. The first is Hull and Machinery, which includes the boat and its attached parts. The second is Protection and Indemnity (P&I), liability coverage. The reason for having Hull and Machinery coverage is to get your boat operational again and P&I insurance is for protect your assets if you are sued over an injury.
When you are working with an insurance company make sure to share details about your business including what time of year it is operational, the different activities, and the locations in which you work. Boat insurance agents are often able to grant discounts for lay up periods when the vessel is in storage. You may also receive a better insurance quote if your boat is kept in a safe marina or has specific safety features.
When shopping for a Hull and Machinery policy look for an independent US domestic company that can place your policy with the boat insurance company that best meets your needs. Only consider insurance companies that hold a rating of at least an “A-” and consider coverage that is all risk and pays based on an agreed value, rather than covering only specific hazards, as this will normally be a better deal.
Some other important things to keep in mind are to select an experienced agent to work with that specializes in boat insurance. A specialist will have the necessary knowledge to help you obtain the customized policy that you need and will likely be able to obtain it at a better value. Also pay close attention to the deductible, higher deductibles mean lower premiums but they also leave you vulnerable to large out of pocket expenses should you need to file a claim. To obtain a charter boat insurance quote click here or call 1-800-748-0224.