Understanding Marine Insurance Exclusions Before You Buy
Any type of insurance you purchase will come with exclusions, and it’s important to understand what you’re getting into when you open a policy, especially if it’s for a single major asset like a boat. Most boat insurance exclusions are common sense things you would predict if you are familiar with the exclusions on auto insurance, but many are unique and hard to predict without marine experience. That’s why Merrimac Marine Insurance recommends all agents review the details of policies with clients, including the details about exclusions on the policy.
Common Insurance Exclusions for Boats
These are the exclusions you can almost count on when you take out a policy on a boat:
Degradation from age
Wear and tear damage due to lack of maintenance
In addition, some policies exclude certain types of marine damage, including damage from animals. These exclusions are not universal and do not necessarily affect all incidents in the class, so it’s important you understand the ins and outs of your policy. The best way to do that is to work with an agent who discusses those exclusions up front and includes the options that allow you to buy higher-level coverage if you need it. Of course, no coverage offers universal insurance without any kind of exclusion, so you will need to find the best cost trade-off for your protection.