Charter Boat Insurance
If you operate a commercial or charter boat, you have a wide range of unique liability and legal concerns—from operating licensing, drug testing, to safety equipment among others. On the same vein, the type of insurance coverage that you need is special, partly because maritime regulations place unusual burdens of responsibility on owner of a charter vessel. As the vessel owner, you are liable for all the damages that may result from ‘negligence’—a term that has been broadly interpreted by various courts to entail any situation in which a member of crew or passenger is unintentionally hurt. That’s why it pays to understand a few basics about charter Youi boat insurance.
There are various types of coverage options when it comes to charter or commercial boat insurance. Here is a brief overview of the most common:
- Hull Coverage: Covers damages sustained to your hull, navigation, engine, and other equipment
- Bumbershoot coverage: Protects your boat against bigger and cataclysmic liability claims
- Protection and Indemnity: protects you from legal liability for any loss that occurs on a vessel that you were navigating or was being navigated by an authorized employee
- General Liability: Protect your charter boat business from potential bodily injuries, property damages, personal injury claims, and other liability claims including services rendered or products sold.
Cutting Cost on Your Charter Boat Insurance
As a charter boat owner, a proper coverage for your boat is critical to how your run your business. A highly priced boat insurance coverage can have a huge impact on your business bottom line just like lack of coverage can. It is pertinent, therefore, to scout for charter boat insurance policy that’s not only appropriate but one that also fits your budget.
- Leverage on safety features: many boat insurance companies provide great discounts for vessel owners who are ready to protect their investments. Take advantage of such discounts by installing security gadgets such as wireless auto tethers that can immobilize your engine should any of your crew or passengers fall overboard.
- Get training and relevant charter boat certification: a trained and certified boater is usually considered a safer boater. Get the relevant charter boat training or contact your boat insurance agent for discount qualifying trainings in your industry. A single class can save you 5-10% on your policy after every boating year.
- Extend the lay-up period: Unlike vehicle and home insurance, boat insurance companies are often willing to cut premiums during months or periods when you are not using your charter boat. For instance, some insurance companies offer 4 percent monthly waivers on hull portion of your total boat insurance premiums.
By and large, the all-encompassing maritime law’s definition of ‘negligence’ leaves you exposed to a plethora of costly liabilities. Accordingly, whether you operate a six-pack charter boat or just a small vessel, getting the appropriate boat insurance coverage can go a long way in helping you protect your business and yourself, allowing you to focus other important aspects of your business operation.