Peer-to-Peer Yacht Insurance Coverage
One interesting new market that has opened up during tighter economic times is the peer-to-peer rental business. What does this have to do with boat or yacht insurance?
The popularity of renting goods or services that aren’t in use has had great success in real estate. Vacation homes and condos all around the world are easily rented online – Airbnb and HomeAway are two examples – where renters can check amenities and owners can earn a bit of extra cash when their properties aren’t occupied.
More and more peer-to-peer businesses have popped up on the Internet. Need a nanny, tutor, pet sitter, or senior care? One click gives you access to candidates from around the world on GreatAuPair. There are businesses connecting peer-to-peer for rentals of everything from tools and entertainment to high tech items and vehicles, including boats.
That’s right! Our yacht insurance specialists aren’t surprised that peer-to-peer has discovered the world of boating. Anyone looking to earn income or offset expenses when not using a boat or yacht can list their yacht and accept bookings online. Those looking to rent a marine vessel – with or without a captain – have many options such as Boatbound, Cruzin, and Boatsetter.
Naturally, the peer-to-peer rental business requires some careful scrutiny regarding boat and yacht insurance whether you are the lessor or the renter.
As veteran marine and yacht insurance providers, we have to caution anyone considering participating in peer-to-peer boat rentals. It is imperative to check with your insurance provider to determine whether your policy provides coverage during a rental period – specifically if you are participating in a peer-to-peer program.
You should find out if you need to expand the liability coverage if you are renting a boat to someone or from someone. Ensure that you fully understand exactly what is and is not covered by any supplemental yacht insurance, both in terms of damage to the vessel and for personal liability.
Some peer-to-peer businesses do offer insurance policies for boats in a rental agreement. As with all insurance coverage, you need to assess whether the insurance coverage offered is adequate.
Before you participate in a peer-to-peer boat rental, find out:
- What is covered if the boat is damaged
- What is covered if the boat is beyond repair
- If salvage or towing charges are covered
- If there is sufficient liability coverage in the event of injury
Don’t second-guess boat or yacht insurance coverage. Contact the marine insurance professionals at Global Marine Insurance for evaluation by the specialists first.