Kenneth Grahame once famously wrote, in The Wind in the Willows, that “there is nothing – absolutely nothing – half so much worth doing as simply messing about in boats.” With over 600,000 UK households owning a boat, there are many that agree with those sentiments. One of the most important factors to consider when buying a boat is how to protect your craft, and this is why cheap boat insurance has become a huge growth industry in the UK.
Boat insurance is designed to protect any type of vessel from a small dinghy or rowing boat up to yachts, catamarans, narrow boats, fishing boats or powerboats. It covers accidental damage, theft, fire, the theft of accessories and equipment as well as third party liability.
Boat insurance premiums have been rising over recent years due to many factors. For example, in 2009 the insurers Zurich revealed that it had recorded a threefold increase in the number of falsified boat insurance claims. The total claimed by fraudulent claimants in the first four months of 2009 exceeded the total for the whole of 2008.
It is therefore vital that you shop around for cheap boat insurance, but it is important not to compromise on the quality of your cover. As you may have found in the past, cheap insurance is all very well until it doesn’t pay out on a claim you have made.
There are a number of things that will affect your boat insurance premium. Firstly, there is the boat itself. Clearly, a super yacht that will travel around the world will attract higher premiums than a dinghy that you only propose to use on your local river. The value of the boat, type of craft and the anticipated usage will all affect your insurance premium.
Secondly, as with other types of insurance, your premium will be based on you personally. This includes your previous boating experience (your premiums may be higher if you are a novice) and your previous claims record.
No-claims bonuses are normally available on boat insurance policies in the same way that they are on motor insurance contracts.
Whilst it isn’t compulsory to take out boat insurance, it is strongly recommended. The cost of a boat and equipment can be high and if the boat is to be moored in a marina or harbour, you won’t necessarily be able to keep a close eye on it or your belongings. It’s therefore vital that you protect not only the boat but lifejackets, sails and other expensive equipment.