Boat insurance can help protect your investment in your watercraft. It may also help pay liability claims for mishaps such as fuel spills or wreckage removal. Boat insurance policies are highly customizable, so working closely with your agent to tailor your coverage to meet your potential needs is crucial. 
Is Boat Insurance Required?
While the state of Alabama requires that all water-based vehicles have a valid registration, they do not require boating insurance. Certain marinas may require proof that you maintain boat liability coverage. If you finance or lease your boat, your lender generally requires full coverage, including comprehensive and collision insurance.
If you cause injuries or damage someone else’s property while operating your boat, you may be held legally liable for damages, whether or not you have proper boat insurance coverage. The right policy could provide valuable financial protection in these situations.
What Does Basic Boat Insurance Cover?
When building your boat insurance plan, your agent may recommend that you start with the following core coverages:
- Boat liability coverage may help pay for third-party damages related to bodily injury or property damage up to your policy’s limits. Liability coverage may help pay for damage caused by your boat to pilings, other boats, and docks and injuries to other boaters and passengers. It may also help cover clean-up costs after a fuel spill or wreckage removal.
- Comprehensive and collision coverage, also called hull insurance, may help pay to replace or repair your boat minus your policy’s deductible. This coverage could cover events outside your control, such as vandalism, theft, fire, lightning, hurricanes and falling trees. It may also help provide coverage if your boat collides with another watercraft or object or capsizes.
Depending on your risks and exposures, your agent may recommend that you tailor your boat insurance coverage to include the following:
- Uninsured/underinsured boater coverage may help pay for injuries to you and your passengers up to the policy’s limits if the at-fault boater doesn’t have enough liability coverage or is uninsured.
- Medical payments coverage may help pay medical bills for you and your passengers after a covered accident, regardless of who is at fault.
- Replacement of fishing equipment or carry-on items coverage may help pay to replace personal property such as marine binoculars, scuba gear, fishing poles and equipment if lost or stolen.
- On-water towing coverage may help pay for on-water towing costs, jump starts, fuel delivery and un-groundings if your watercraft is disabled while in the water.
How to Get Boat Insurance for Your Alabama Watercraft
The agents at PAC Insurance Services serving the Birmingham, Bessemer and Hoover, Alabama, areas can help you get a boat insurance policy tailored to meet your needs. Contact us today to learn more about your boat insurance options and get a personalized quote.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.