While owning a sailboat or yacht is undoubtedly exciting, have you thought about the financial impact if your boat is damaged in a collision? This is just one of many possible scenarios while boating, and the best way to protect yourself is through boat insurance. This coverage safeguards you, your vessel, and any third parties affected by accidents or collisions. So, in this guide, we will be exploring different benefits of boat insurance and how much it costs in Texas for all those that would like to equip their watercrafts with safety measures.

• What does boat insurance not cover?
• What does sailboat insurance cover and its costs?
• Does boat insurance also cover sinking incidents?
• What insurance do I need to rent out my boat?
• How much is sailboat insurance in Florida?

What is boat insurance?

Boat insurance is a policy designed to protect you from financial losses resulting from the risks associated with owning and operating a sailboat. These includes theft, collision, and other covered peril like fire or lightning. For instance. if an accident occurs and your boat is damaged, boat insurance will cover the repair costs and any necessary replacements. It also provides coverage for any third parties who might suffer property damage or bodily injuries due to the collision.

What does boat insurance cover?

Boat insurance coverage typically varies per policy provider, but you will commonly find these coverages included in most policies:

• Liability coverage: Under liability coverage, protection is specifically provided for third parties for either bodily injuries or property damage.
• Collision Coverage: Coverage is provided for your boat if it is damaged while on the water, whether from colliding with another boat or being hit by another sailor’s vessel.
• Comprehensive coverage: Comprehensive coverage provides financial protection against repair and replacement costs if your watercraft is damaged due to circumstances beyond your control, such as vandalism or theft.
• Medical payments: This coverage protects you and your passengers if they suffer bodily injuries in a water accident. It covers the medical expenses incurred for treating these injuries.

What does boat insurance not cover?

Keep in mind that not all boat damages will be covered by insurance, hence, there are limitations. While policy coverages vary by insurer, the following types of damage are generally not covered:

• Normal Wear and Tear: Damage resulting from the natural wear and tear of your sailboat is usually not covered.
• Mechanical Breakdown: If your boat breaks down while on the water and requires mechanical repair, this is typically not covered by insurance.
• Boater’s Negligence: Damage resulting from your own negligence or failure to take necessary precautions may not be covered.
• Damage from Infestations or Mold: Boat damage caused by pest infestations or mold is generally not covered.

Is boat insurance required in Texas?

Is boat insurance a mandatory requirement for watercraft owners in Texas? No, Texas law does not mandate insurance for watercraft. You can choose to have it or not, but keep in mind that it provides valuable protection for you and your boat. Even though it’s not required by the state, it’s still a good idea to consider it. Some policy providers include limited boat coverage under homeowners insurance, but it’s important to have a separate boat insurance policy for comprehensive protection.

How much does boat insurance cost in Texas?

The cost of boat insurance typically depends on several factors and the insurance company providing the coverage. As a result, prices can vary between providers. On average, you can expect to pay around $527 per year or $44 per month for coverage. Below is a list of some of the best boat insurance companies in Texas:

1. Progressive

First on our list of the best boat insurance in Texas is Progressive, known for its affordable policies and extensive coverage options. Their standard policy includes protection for collision and liability, covering both property damage and bodily injury. You can also choose an umbrella policy under their liability coverage for additional protection, offering up to $5 million if you need more than the usual $500,000 liability limit. Additional coverage options include fuel spill, watersports, and wreckage removal. You can also add extra coverages for enhanced protection.

2. Geico

Geico offers affordable boat insurance in Texas, with free quotes available on their website. The insurance coverage provided is for a wide range of boats, including powerboats, sailboats, fishing boats, bass boats, and personal watercraft. Coverage benefits include liability, fuel spill, wreckage removal, and medical coverage for you and your boat passengers. The cost-effectiveness of Geico’s boat insurance is enhanced by discounts, such as multi-policy discounts for bundling with auto or additional marine insurance, and discounts for completing approved boating safety courses, like those from the State Certified Safety or the American Sailing Association.

3. Markel

What we like about Markel boat insurance is its affordability, with annual coverage starting as low as $100. If you prefer monthly payments, you can pay as little as $9 per month. Markel has been providing coverage for over 45 years, offering a wide range of protections, including ultimate drive coverage, ice and freezing damage, consequential damage, replacement cost coverage, agreed value for watercraft and equipment, and physical damage protection. Additionally, Markel offers discounts that can save you up to 35% on your boat insurance.

4. Chubb

Chubb provides excellent boat insurance coverage in Texas, offering two distinct policies:

• Masterpiece Boat Insurance Policy: This policy covers total loss settlement based on an agreed amount with no deductible for total losses.
• Masterpiece Boat Select Policy: This policy offers total loss settlement coverage up to 120% of the vessel’s insured value.

Additional coverages include Personal Property & Fishing Equipment Coverage, Emergency Towing & Assistance, Longshore and Harbor Workers’ Compensation Act (LHWCA), Liability Protection, Partial Loss Settlement, and Medical Payments. These coverages are available under both the Masterpiece and Masterpiece Boat Select policies, which are designed for all types of pleasure boats up to 35 feet, as well as Personal Watercraft (PWCs).

5. Nboa boat insurance

NBOA provides boat insurance coverage for various types of watercraft, including yachts, jet skis, and powerboats. The company connects you with top boat insurance providers to offer policies tailored to your specific boating needs. They work with several insurers that provide a range of coverages, such as collision, liability, and comprehensive protection. Additionally, you can join the NBOA membership program, and enjoy free benefits such as comprehensive towing coverage and various discounts to help you save on insurance costs.

6. Foremost

Foremost is another excellent boat insurance provider in Texas. They offer a broad range of coverage options, including standard policies and additional coverages for enhanced protection. These coverages include uninsured watercraft coverage, medical payments coverage, agreed loss or actual cash value settlement options, liability coverage, and more.Additionally, Foremost is also known for its easy and fast claims approval process. You can also benefit from various discounts on your boat insurance and save money.

7. BoatUs

Along with Geico, BoatUS also offers boat insurance coverage in Texas, featuring a wide range of options. These include agreed hull value coverage, which provides excellent protection for your boat engine and gear, actual cash value coverage, which compensates you for the current market value of your boat in case of a total loss. Additional coverages available for purchase include fishing guide coverage, dock contract liability, mechanical breakdown coverage, and supplemental family medical payments of up to $25,000, among others. You can also add Unlimited Towing to your policy for as little as $3 per month, depending on your boat’s size and location.

8. State Farm

State Farm provides quality and affordable boat insurance policies for boat owners in Texas. Their comprehensive coverage options include liability protection, which covers injuries or property damage caused to others; comprehensive coverage, which protects against common risks such as fires, theft, or vandalism; and collision coverage. You can also opt for additional coverages like fishing tournament fee reimbursement, incidental commercial fishing, and boat rental liability, among others.Additionally, State Farm offers various discounts, allowing you to save money on your boat insurance.

9. Allstate

With Allstate, you can obtain boat insurance coverage for as low as $25 per month or $300 per year. This coverage includes several options such as watercraft liability, property coverage, uninsured watercraft coverage, repair cost endorsement, and emergency services coverage, which provides up to $100 for reasonable towing expenses. Additionally, you have the option to choose deductibles and coverage limits that best match your boat’s needs.

10. Skisafe

With Skisafe, you can select a coverage policy tailored to your boat type. Their insurance plans accommodate various types of boats, including Center Console, Inboard Motor Yacht, Pontoon, Jet Ski, and Sailboat. Coverage options include all risks coverage, which protects against any physical damage to your boat, and agreed value coverage for your vessel.

Editor’s Remarks

As a boat owner, it’s essential to ensure your watercraft has sufficient coverage to protect you from financial losses in case of a crash or damage. Consider researching different policies and comparing quotes to find a plan that best fits your boating needs. Alternatively, you can consult with insurance agents who can assist you in customizing your boat insurance coverage.

Frequently Asked Questions