Boat Insurance

Insuring your valuable boat is a no-brainer. If you take out a loan to purchase, the lender is highly likely to make an insurance policy conditional to the finance. Sourcing the right policy requires time and consideration.

From our contacts in the insurance sector, we’ve compiled a list of considerations, hints and ideas for you to take into account when sourcing your boat insurance policy.

Sourcing Boat Insurance

The choice of who to buy your boat insurance from includes:-
• Many general insurers offer boat insurance. As Australia is a high boat-owning country it follows that the boat insurance industry would be competitive. So the cost of policies will vary from insurer to insurer. You should read the fine print closely and highlight what is and isn’t included when comparing policies. General insurers may only offer a generic boat insurance policy.
• Specialist marine insurance companies. There are a number of insurers that exclusively deal with boat insurance. By definition of their work area, they will have a good knowledge of the overall marine industry and have numerous policies specifically targeted to suit your boat.
• Use the services of an insurance broker that specialises in boat insurance to source you a policy. A broker will have access to a wider range of insurers, fully understands the terminology and will be well-placed to source you a boat insurance policy that best suits your requirements.
• Insuring a commercial vessel is a specialised area of insurance and usually requires the services of a specialist insurance broker to work through the detail and structure a policy to suit.

Considerations, Hints and Suggestions


•Boat insurance is not usually compulsory by law but if you take out boat finance, your bank or lender will likely insist you have insurance. • Inexpensive and good value policies are good but cheap policies are not always the best. Look into the detail, especially what is NOT included.
• Ensure you are covered for the waterways that you intend to boat on – offshore, inshore, inland.
• Are all your boating activities covered: fishing, skiing etc?
• Is your boat covered while in storage, on the trailer at your home, while being towed?
• How much of the contents of the boat are included: gear, equipment, dive gear, fishing gear, only what is normally on-board or passengers’ belongings as well?
• Is the boat covered for storm, tempest and natural disasters or just theft and damage?
• Boat policies are often priced based on the condition of the boat and where it is usually anchored, moored or stored.
• If you have a marina berth or dry storage, ask what insurance is included in your berthing or storing fees as this may provide you with a discount on your own policy.
• Do you have coverage for injury or death to you and your passengers while on the boat or only to the boat, contents, goods and belongings?
• Are you covered for any damage that your boat does to other people or other boats?

If you feel unsure about arranging your own boat insurance, we know people who operate as brokers in this area and can put you in touch with them. Contact us for details.