Many people wonder, “is boat insurance required in Michigan?” and “what factors affect the cost of boat insurance?”
There are a variety of factors that will affect your boat insurance policy, such as boat type, size, features, and value. Your watercraft insurance also depends on where you store it, the navigation area, and your driving record.
Before evaluating all of these variables in depth, let’s answer some common questions to help you navigate your way to the right insurance for your watercraft.
Do You Need to Have Insurance on a Boat?
While boat insurance is not required in the state of Michigan, it’s never a good idea to be on the water without it. This is why we strongly advise insuring your watercraft to protect yourself and others when boating.
In 2020 alone, there were 181 boating accidents reported in Michigan that included 33 fatalities, 20 drownings and approximately $2,188,237 of property damage.
Boat insurance can cover things like medical payments for boating accidents, to personal effects like clothing, jewelry, cell phones and more. When you insure your watercraft with Insurance Network Agency, our policies can cover everything from Physical Damage to Emergency Assistance.
How Much Does Boat Insurance Cost?
On average, boat insurance costs between $150 and $500 a year, depending on the boat. If you have a larger boat like a yacht or sailboat, the insurance can cost between 1% and 5% of the boat’s value.
For decades, Insurance Network Agency has helped boat owners throughout Michigan get the coverage they need. We collaborate with the leading marine carriers to provide our clients with the best coverage at the lowest possible rate.
Should You Buy Boat Rental Insurance?
Renting a Boat – Boat Renters
As a boat renter, you should make sure the owner of the boat you’re renting from has insurance to protect their renters. It’s also important to get that information in writing, just in case.
Additionally, most boat rental businesses will ask for a security deposit to cover any damages that may occur.
Renting Out Your Boat – Boat Owners
If you’re renting out your boat as the boat owner, we strongly advise you to have the correct insurance coverage before renting your watercraft to anyone.
Most recreational boat insurance policies don’t include coverage for renting your boat to others. So, make sure your plan includes that coverage, and if it doesn’t, contact us for help.
Have More Questions About Boat Insurance?
As you can see, there are many factors and situations that affect your boat insurance policy.
Whether you’re interested in boat insurance and want to get a quote, or simply just have more questions, we’re here to answer them. Let us do the heavy lifting; contact us today to get started.