Boat Coverage Under Michigan Homeowners Policy?

Michigan BoatMichigan Boat Coverage under your homeowners policy.

Does my homeowners policy cover my boat? It might. It depends on the size of your boat, your desired coverage, and where and how you store it.

Homeowners insurance policies typically allow limited protection for property damage to small sail boats and power boats with horsepower less than 25 mph. The policy likely will only cover damage that occurs while it is on your property, however, and providers typically limit coverage for watercraft on a homeowners policy to $1,000 or 10% of a home’s property value.

Claims for wind and hail damage could be limited to times when the boat is housed in a fully enclosed building, such as a shed or garage, on your property. A homeowners policy also typically will not include liability insurance for the boat, though you can schedule an endorsement. Theft coverage also could be excluded. Read your policy – or better yet, ask your agent – to get full details.

The main takeaway, however, is that homeowners insurance coverage for boats is limited at best.

Michigan Boat insurance what’s covered?

A separate boat insurance policy protects larger boats, yachts, and personal watercraft such as Jet Skis and Wave Runners. This type of policy can cover the craft’s hull, machinery, fittings, furnishings and equipment, and it provides liability protection that typically is broader than you can get in an endorsement.

Something to check for is how the policy would treat instances where the boat is destroyed:

1)      Actual cash value: You could receive replacement costs minus depreciation at the time of the loss. The carrier uses boat-pricing guides to determine the approximate market value of the craft.

2)      Agreed amount value: The customer and insurer agree on a set value for the craft should it be destroyed. No depreciation is taken, regardless of the age or condition of the boat at the time of the covered incident.

Separate boat insurance policies typically involve coverage for injury, property damage (you run into your neighbor’s dock), guest passenger liability (your reckless nephew wants to drive the boat), medical payments, and theft. Exclusions might include damage from: normal wear and tear, insects, mold, animals (such as sharks and zebra mussels), and defective machinery. Flood damage is not covered.

Michigan boat policy discounts

Discounts on your boat insurance can serve as buoys to lead you to your dream purchase. Insurance providers emphasize water safety, and they might provide discounts for the following:

Diesel-powered crafts. They are considered less hazardous than their gasoline guzzling counterparts because they are less likely to explode.

Coast Guard-approved fire extinguishers.

Ship-to-shore radios. They provide quick help in the event of a storm, capsizing or other problem.

Two years claims-free experience.

Safety education courses.

Michigan house boat coverage:

Some water lovers decide to make their off-shore experience permanent by purchasing houseboats. Living in a houseboat is not all sun and waves, however. The houseboat experience requires a significant amount of daily maintenance and care. Additionally, you’ll need to consider some more home-centric insurance policies to keep your home and possessions afloat.

A houseboat will require more complete coverage than your average boat, including enhanced:

         Personal effects and contents coverage: Your houseboat will contain more personal possessions than a normal boat would. Make sure your policy adequately protects your personal items, especially high-value items such as electronics that might be subject to significant water damage.

         Medical payments and personal liability coverage: More guests with extended visits will probably grace your houseboat. Protect them – and yourself – against accidents.

         Property damage: Think about the damage a mismanaged or storm-ridden houseboat could do to others’ property. Your property damage coverage should also include fuel-spill liability in case your boat’s tank leaks.

         Theft: Houseboats are open to the elements and therefore also open to thieves. Protect your possessions and your home from theft. Pirates are not just quaint remnants of the past.

Whether you’re a temporary speedboat junky or a full-time boater, make sure your sea dreams are protected. With the right coverage, your boating experience can be smooth sailing

View this post for more details on what is covered on a Michigan homeowners insurance policy.

Please contact our office to answer all of your Michigan Boat insurance questions.

A Michigan Boat policy can be started with a phone call 248-888-1134 or you can visit our site Michigan Boat Insurance Agent for more information or to get a quote online.