Sinking Boat Insurance Myths

You don't believe in the mermaids and you don’t believe your friend caught a sea monster fishing off the Florida coast. So why do most boaters believe boat insurance covers them wherever they go?

Progressive Insurance surveyed more than 1,000 boat owners. It uncovered a few insurance myths floating around. Here's a sample of the findings and the facts behind each:

Myth: Boat insurance covers me anywhere I decide to go boating.

Reality: Seventy-six percent of respondents believed this one. The reality is some insurers only provide coverage where the boat is used most. Insurers may limit coverage to 100 nautical miles of your home port. Some only cover you on “inland waterways.” There are one or two insurers out there that will cover you almost anywhere. See watercraft insurance NY

Myth: I'll definitely get a better insurance rate if I buy from the same company that insures my home or car.

Reality: Buying more than one product from the same insurance company doesn't always mean you'll get the best rate  even though 45 percent of respondents thought so. Boaters can save by shopping around and combining specialized policies from different companies. Hudson Valley Agents  in New York has over 7 different boat insurance markets to get rates from. Some of those companies write car and home insurance too, but some specialize only in marine type policies.

Myth: Everyone pays more for insurance because of the hurricanes from a couple of years ago.

Reality: Even though it’s believed by 74 percent of respondents, it isn’t true. Boat insurers generally price policies based on claims in each state. For example, New York insurance customers won't pay more for insurance because of hurricanes in Florida.

"It’s important to understand what’s available," said Dominic Mediate of Progressive Insurance. "You want to be properly protected in case your boat is stolen, you get into an accident or contents are damaged. We’re separating fact from fiction so boaters can make the best insurance decisions possible."

Don't forget to print your free copy of  Water Safety for Water Craft free from the us government too.