Boat InsuranceMost companies provide limited coverage for property damage for small boats such as small sail or power boats with less than a 25 hp motor under a homeowner's or renter's insurance policy. Coverage is usually about $1,000 or 10 percent of the home's property value and generally includes the boat, motor and trailer combined. Liability coverage is typically not included–but it can be added as an endorsement to a homeowners policy. Check with your insurance representative to find out if your boat is covered and what the limits are.
Larger and faster boats, such as yachts, and personal watercraft, require a separate boat insurance policy. The size, type and value of the craft and the water in which you use it factor into how much you will pay for insurance coverage.
Basics of Boat Insurance