Purchasing your boat is a significant investment. Besides the initial cost, boaters must pay for fuel, maintenance, and other costs to keep their boats afloat. Since investing in a boat calls for a considerable investment, you should put effort into protecting your boat. While regular service and maintenance go a long way in safeguarding your boat, don’t forget about boat insurance — this coverage can save the day when you least expect it.
Boat insurance makes sense if you invest in the proper coverage. Since buying boat insurance is never straightforward, Luebbering Insurance Agency LLC in Jefferson City, MO is here to highlight tips before heading to the market for boat insurance.
Differentiate between “actual cash value” and “agreed value.”
When you are insuring your boat, there are two values you should consider. The cash value is the market value of your boat. This means you will not get 2020 prices for a 2015 boat. Although the agreed value is affordable, most policyholders have to dip into their pockets if they want to purchase a similar vessel.
The agreed value is a pre-determined amount signed into your contract. This is the amount you will be paid if your boat is totaled or stolen.
Understanding boat insurance policies
You must understand what it covers to get the most out of your boat insurance. If you are familiar with car insurance policies, boat insurance isn’t any different. Boat insurance options include liability coverage, comprehensive, collision, MedPay, etc. If you want to understand what your boat insurance covers, read your policy document carefully.
Know your boat insurance exclusions
Your boat insurance doesn’t cover you against all the events. Boat insurance has several exclusions highlighted in your policy document. Always understand your boat insurance exclusions to avoid disappointments during the claim process.
Boat insurance can be mandatory.
Although boat insurance isn’t required in Missouri, you may be required by your lender to buy boat insurance. So, before you sign that loan agreement for your boat, know the requirements regarding insurance.
Would you like to purchase boat insurance in Jefferson City, MO? Please get in touch with Luebbering Insurance Agency LLC.
