Tips30 May 2026· 7 min read
Boat Insurance Guide: What Does It Cover?
Hull, P&I and personal-accident cover; charter deposit, deductible and what to check in a policy.
Boat insurance is critical for both owners and charterers. The right policy prevents major financial loss in unexpected situations. This guide explains coverage and what to watch for.
Types of Boat Insurance
- Hull insurance: Protects the boat itself against collision, sinking, fire and theft.
- Third-party liability (P&I): Covers damage to other boats or people; often mandatory at marinas.
- Personal accident: Covers injuries to people on board.
Insurance When Chartering
Basic insurance is usually included, but the deposit (damage waiver) is separate. Liability is higher on bareboat charters; a "damage waiver reduction" policy lowers deposit risk.
What to Check
- Geographic coverage (cruising-area limits)
- Deductible amount
- Towing/salvage costs included?
Owners: manage your listing. Buyers: browse boats for sale.
