UK General Insurance Articles CompareTheMarket Home Insurance Comparison
search advanced search

Home >> General Insurance Articles


An introduction to boat insurance

Article by Simon Christopher
Article added: 5/9/2010 - Last updated: -
Rating: 0.00 (0 votes)


There are said to be more than two million boats in the United Kingdom, yet few people automatically link them with insurance as the same way every driver does with their car. Boat insurance may appear complicated as it combines elements of motor insurance and contents insurance, but there are plenty of policies to choose from.

Is all boat insurance the same?

No, there are a wide variety of policies. This is partly because of the sheer range of boats in use: a canal barge, a rubber dinghy and a luxury yacht are much more different than an Escort, a Mondeo and a BMW! But its also because, as with most insurance, there is often a lot of difference between different boat insurance companies, both in what they charge and what they cover.

What type of costs am I looking at?

For small boats such as a dinghy or inflatable motorboat, and annual premium could be £25 or less. A narrowboat might start from £50. Once you get into yacht territory, premiums vary immensely and you will probably find you are more likely to get a unique quote even than with a car.

What affects premium costs?

As a general rule, the smaller and less elaborate a boat, the more likely the premium is to be based on standardized figures. With more expensive vessels, insurers tend to ask more questions when setting a premium.

The location of a boat is an important factor. While different regions don't tend to have that much variety in terms of boat theft, the type of water greatly affects the risk: there's a big difference between a boat kept moored in a dock and one regularly taken out to sea. One factor many people don't think about is how far away they take the boat from home: some insurers will take into account that damage in remote locations is likely to be more expensive to repair.

As with motor insurance, the person controlling the boat is also a big factor. The assessment isn't as standardized as with car drivers, but you should certainly expect your age and boating experience to play a role.

Valuation

Unlike with motor insurance, boat insurance policies often put the onus on the policyholder to give a valuation on the boat. This is mainly because there is so much variation between boats that it's difficult for the insurer to simply use a set formula. Pay close attention to whether the policy uses the phrase "agreed fixed value". If it does, you'll get this sum in a write-off situation unless it's very clear you have intentionally exaggerated the value. If the policy doesn't mention this phrase, it's more likely the insurers will re-examine the valuation after a claim and retain the right to challenge the amount.

Averaging

Boat policies are subject to the same "averaging" principle that catches people out with many types of insurance -- indeed, because of the self-valuation this can be more of an issue. The principle means that if an insurer pays out a claim for repairable damage, it may look at your insurance value again.  If, for example, it decides you have only covered the boat for two-thirds of its true value, it may only pay out two-thirds of the actual damage costs.



PLEASE NOTE: The guidance published in this article is for information only and does not constitute financial advice or a recommendation of any particular general insurance product or provider. If you are in any doubt please consult an independent insurance adviser. A database of advisers in your area is available at www.unbiased.co.uk

Copyright UK Insurance Index http://www.uk-insurance-index.co.uk. All rights reserved.


comments about this general insurance article

Comments About this Article:

 Add a Comment


share this general insurance article

Share this Article:



rate this general insurance article

Rate this Article:


Please rate this article between 0 and 5
with 5 being top.
All ratings received for this article.

all categories ALL CATEGORIES
A-Z Categories

popular categories POPULAR CATEGORIES
Car Insurance
Home Insurance
Life Cover
Mobile Phone Cover
Pet Insurance
Travel Insurance

directory categories DIRECTORY CATEGORIES
Business
Event
Health
Home & Property
Insurance Brokers
Life & Protection
Marine
Motor
Non UK Insurers
Pet & Animal
Personal Possessions
Specialist Cover
Sport
Travel

review categories REVIEW CATEGORIES
Business
Car & Motor
Health
Home
Insurance Companies
Life Cover
Motorcycle
Pet & Animal
Possessions
Sport
Travel

article categories ARTICLE CATEGORIES
Business
Car & Motor
General
Health
Home & Property
Insurance Awards
Insurance Guides
Life Cover
Pet & Animal
Travel

news categories NEWS CATEGORIES
Business News
Car and Motor News
General News
Health News
Home & Property News
Life Cover News
Pet and Animal News
Travel News

FEATURED SITES
Gocompare home insurance price comparison
Gocompare.com
Gocompare helps you to compare quotes from more than 65 home insurers in minutes with just one form.


latest listings LATEST LISTINGS
The Insurance Emporium Caravan Insurance
The Insurance Emporium Horse Insurance
The Insurance Emporium Wedding Insurance
The Insurance Emporium Pet Insurance
Drayton Insurance Services

latest reviews LATEST REVIEWS
Construct a Quote Van Insurance
Globelink Travel Insurance
Domestic and General Washing Machine Cover
Heritage Classic Car Insurance
Insurance2go Mobile phone insurance (iphone)

latest articles LATEST ARTICLES
Getting the best value GAP insurance
Protection insurance firm warns of policy confusion
Insurers pressure customers to take bargains while they can
Flood insurance talks still unsettled
Speed awareness courses have hidden cost



Home | Privacy & Cookies | Terms of Use | Contact | Submit Site | Advertisers

Page protected, do not copy

This website uses cookies to ensure a reliable browsing experience. If you continue to use this website you are consenting to us using cookies in this way. To find out what cookies are, which ones we use and why we use them please click here.

Copyright © 2017 UK Insurance Index. All rights reserved.
All directory listings, articles and reviews are provided as information only and do not constitute advice or a recommendation of any product or provider. If you use these insurers, we take no responsibility and give no guarantees, warranties or representations, implied or otherwise, for the content or accuracy of these third-party web sites or companies. If you have any doubts you should consult an authorised independent financial adviser for advice based upon your individual needs and circumstances. A database of advisers in your area is available at www.unbiased.co.uk.