Which Insurance Is Right for Your Boat? - Liability or Full Comprehensive?
Which Insurance Is Right for Your Boat? – Liability or Full Comprehensive?
As a boat owner, one thing is certain: liability insurance is mandatory, and it is a requirement to sail legally on the water. But what about comprehensive insurance? This is where the question arises: Should you choose only liability insurance, or should you also include comprehensive insurance to get the best protection for your boat?
In this article, we will help you understand what liability insurance and comprehensive insurance cover, and how to choose the right combination of policies so you get optimal protection – both for yourself and your boat.
What is Liability Insurance?
Liability insurance for boats is the basic insurance, and it is a legal requirement for sailing on public waters. This insurance protects you if you cause damage to other boats, people, or property during your voyage. It is a necessity, and you cannot opt-out of it if you own a boat.
With liability insurance, you are covered if you:
- Are involved in a collision with another boat and cause damage to it.
- Injure people, either on your own boat or on another boat.
- Cause damage to someone else’s property, such as hitting a dock or another vessel.
Liability insurance covers damage you may cause to others, but it does not cover damage to your own boat, and it does not protect you from personal injuries you might sustain.
What is Comprehensive Insurance?
Comprehensive insurance is a more extensive policy that covers damage to your own boat. Comprehensive insurance is optional, but it provides you with much broader protection if something goes wrong during your voyage.
There are two types of comprehensive insurance:
- Full Comprehensive Insurance
Full comprehensive insurance covers almost all types of damage to your boat, whether they are caused by your own actions or external factors such as storms, fire, theft, or collisions with other boats. Full comprehensive insurance gives you a high level of protection and is ideal if you want to minimize the risk of significant financial loss. - Limited Comprehensive Insurance
Limited comprehensive insurance only covers certain types of damage, which you can choose to include in your insurance agreement, such as collisions or damage caused by storms. This type of insurance gives you more tailored coverage, but it does not protect you from all types of damage.
Should You Only Have Liability Insurance, or Both Liability and Comprehensive?
As a boat owner, liability insurance is a requirement, but the question for many is whether they should choose only liability insurance or also include comprehensive insurance for more extensive coverage. Here are some considerations that can help you make the decision:
- Do you sail in calm waters or open seas?
If you only sail in calm waters, such as a lake or harbor, the risk of significant damage to your own boat is relatively low. In this case, liability insurance may be sufficient. However, if you sail on open seas or in areas with poorer weather conditions, comprehensive insurance would be a good idea, as it protects you against damages that can arise from natural forces or accidents. - What type of boat do you own?
If you own a small boat, liability insurance may be enough, especially if you are not going out in bad weather. However, if you own a larger motorboat or sail in open seas, you should consider comprehensive insurance to protect your investment against damage from collisions, theft, or weather phenomena. - Are you willing to take risks?
Comprehensive insurance gives you extra peace of mind, as it protects you from large financial losses if your boat is damaged. If you're willing to take on some risk and only want the mandatory coverage, liability insurance may be sufficient. However, if you want maximum protection and don't want to worry about potential repair costs for your boat, comprehensive insurance is a good investment.
When is it a Good Idea to Combine Liability Insurance and Comprehensive Insurance?
Many boat owners choose to combine liability insurance and comprehensive insurance to get the best possible protection. By combining both policies, you get protection for damage you might cause to others, as well as coverage for damage to your own boat. This provides you with much broader protection, which is particularly useful if you sail in areas with a high risk of accidents or bad weather.
At Fælles Forsikring, we offer tailored solutions that allow you to choose the right combination of insurance policies. Our experts are ready to help you find the best solution that fits your needs.
How Do You Find the Best Insurance for Your Boat?
When choosing boat insurance, it's important to consider several factors, such as the size of your boat, where you sail, and what you’re willing to pay. At Fælles Forsikring, we offer both liability insurance and comprehensive insurance, and we can help you choose the right coverage. Our advisors are ready to assist you in finding the solution that best suits you and your boat.
Get a quote for your boat insurance now! Call us at 40 50 84 84 or sign up for a quote!
