Before taking your yacht on a trip this season, you need to make sure that your yacht insurance Cape Coral is ready for the sail too. Needless to say, insuring a yacht is more complicated than insuring a home or car. Specialized coverage is needed and there are other discrepancies like liability coverage, navigation limit, aftermarket product coverage and a range of other factors. To avoid surprises, always consider the following tips.
Confirm the type of coverage you have
The mistake most yacht owners make when buying yacht insurance Cape Coral is not taking the time to understand the difference between Agreed Value and Actual value policies. They only realize their mistake when they file a claim. Working with a marine surveyor in Cape Coral can help you understand the difference.
An agreed value policy pays the limit that is shown on your insurance policy in the event of total loss. actual cash value policy will pay the current market value of the boat but after factoring in depreciation. While it will cost more to get an agreed value policy, the coverage is broader. Actual cash value policy is cheaper and economical for an inexpensive vessel. It is good to note that some lenders may require that you carry Agreed Value coverage.
This is the most important and least expensive cover to get for your yacht. The ideal liability cover will include legal defense costs, oil pollution clean-up, and wreck removal. If you plan on hiring a captain or a crew for your yacht, you must ensure that liability coverage includes the Jones Act.
Another thing you have to do is ensure your cover includes medical payments for you and your family. The cover should be viable for your intended activities.
Evaluate your needs
Getting the right yacht insurance cover requires that you start by evaluating your specific needs. If your boat is built for pleasure and you only navigate inland lakes, there is no sense getting a cover that is specific to boats for diehard fishermen or boats that navigate the coastal waters. If you do entertain on your boat, you will need a policy that will cover such activities.
Most yachts are a serious investment. With that in mind, the cover you select must not be an ‘add-on’ from your existing policy. It should be a cover from an insurance company that specializes in yacht insurance. The policy you select must also offer sufficient coverage. That is why working with an experienced marine surveyor is very important. The surveyor will help you know how much cover you need. This information will help pick the best yacht insurance Cape Coral.