The Importance of Watercraft Insurance to Boat Owners

Before we dive deeper, let us first define watercraft insurance. Boat, yacht, and personal watercraft insurance are kinds of watercraft insurance. And similar to other types, the main purpose of this policy is to prevent boat owners from suffering the frustrating aftermath of their boats getting destroyed or stolen.

As a new boat owner, you might have second thoughts about purchasing watercraft insurance, especially if your state doesn’t require it. But similar to auto and home insurance, having watercraft insurance is a good way to protect one of your most valuable possessions. Here’s how getting insurance for watercraft can be beneficial for you:

Liability Coverage

Bodies of water can be unruly, and your boat can cause harm to other people due to unforeseen circumstances.

Direct Physical Loss

If your boat is stolen or destroyed, your coverage could provide direct physical loss of you boat, motor, trailer and/or equipment based on its value. 10% limit included for the direct physical loss to watercraft equipment although higher limits are available.


Watercraft insurance is flexible and most companies will let you customize your policy according to your needs. But of course, these add-ons aren’t free and the cost will be added to your premium. You might want to consider adding replacement cost coverage on the boat and don’t forget to add coverage for your boat lift or dock.

Get in Touch With Farmers Union Insurance Today

Interested in getting insurance for a watercraft? Your search for a reliable watercraft insurance policy ends with Farmers Union Insurance. Reach out to one of our designated agents in your local area to learn more.