How to Find Cheap Boat Insurance Online
You can find relatively inexpensive boat insurance by searching online, but before we cover how to do that, let’s conduct a reality check of what cheap boat insurance really means. You might think of cheap as less than $100 per year, but that’s not going to happen.
What Boat Insurance Costs
Boat insurance does cost remarkably less than auto insurance. Boat insurance policies still range widely in cost though. It depends on numerous factors, including:
where you live,
your age (not just your boat’s),
the type of boat,
your personal boating history,
the coverage you want.
That’s the national average range. The low-end cost is what you pay if you live in Wisconsin, while the high end is what you pay if you live in Florida.
Location
You will probably err on the low end on the costs if you live in one of the following states:
Arkansas, Illinois, Indiana, Iowa, Kansas, Ohio, Maine, Michigan, Minnesota, Missouri, Montana, Nebraska, New Hampshire, Pennsylvania, Utah, Vermont, or Wisconsin.
Your costs will go inch higher, into the $300s if you live in one of the following states:
Arizona, Colorado, Delaware, Georgia, Idaho, Kentucky, New York, North Carolina, North Dakota, Oklahoma, Oregon, South Dakota, Tennessee, Virginia, Washington, West Virginia, or Wyoming.
As a rule, you will pay the highest rates in vacation states, especially those on any coast – the west, east, or southern coasts. Part of this has to do with natural hazards that commonly affect those areas, such as sea squalls, hurricanes, etc. Expect to pay in the high $400s if you reside in the states of:
Alabama, Alaska, California, Connecticut, Florida, Hawaii, Louisiana, Maryland, Massachusetts, Mississippi, Nevada, New Jersey, New Mexico, South Carolina, Rhode Island, and Texas.
Typically, you pay less in land-locked states where you would only use your boat on a lake or river. Coastal states tend to include owners of more expensive boats and larger watercraft.
You Can Lower Those Rates a Little
Many things you do can lower the amount of money you pay.
Watercraft without features
Choose a watercraft without features that make it more costly to insure. That includes sailboats, pontoons, fishing vessels, and various personal watercraft. The less “busy” your boat, the less it will cost to insure.
Lower horsepower engine
Buying a boat with a lower horsepower engine can cost you less. Powerboat owners pay some of the highest rates.
Boat's age
Your boat's age plays a part. Just like insuring a new car, you will pay more money to insure a newer boat.
Your age
Your age matters, too, just as it does in auto insurance. The older you are, the less your insurance costs. A 20-year old purchasing boat insurance will pay a lot, while a 50-year old purchasing the same policy for the same model and year of a boat in the same state will pay less. The older person is considered more mature and experienced on the water. This reduces the risk of them causing an accident. If they are married, they present even less risk.
Gender
Likewise, insurance companies look at your gender. Perhaps they should not, but factually, women become involved in fewer accidents, especially those above the age of 27. It is true for autos and for boats. If you really want to save money, be a female aged 27 years or older and you will obtain cheaper boat insurance. For married couples, try having the female spouse request the premium rates. She will probably qualify for cheaper premiums.
Safety
When you put safety first, you can lower your costs. You should complete a boating safety course to qualify for a lower rate. Also, make sure you have the essential life-saving equipment on your boat. This means life jackets and a first-aid kit, plus life preservers. You might not think of it offhand, but buy a fire extinguisher for your boat. Also, outfit it with an emergency radio and an NOAA weather radio. Just as it helps you qualify for lower rates on homeowners insurance, you can help your case for more affordable boat insurance this way.
Personal Boating History
The insurance agency will look at your personal boating history. Typically, the lower rates for insurance go to the more experienced boaters. Your rates will probably go up if you add an inexperienced or less experienced boat operator to the policy. Let’s say your teenager wants to drive the boat now, too. They got their learner’s permit, and they feel ready to be a grown-up and drive. Your rates will go up. Make them take a boating safety course to ensure that they do not skyrocket.
Previous claims record
Another factor that you can control that affects your boating insurance costs is your previous claims record. This refers to any type of claim. The insurance company wants to investigate how often you ask for money. Do you get into accidents often in your vehicle? On a motorcycle? What about your home safety? Has your home been broken into or have accidents occurred there? The more claims you have previously filed, the more your premiums will cost. If you can pay for small things out of pocket rather than filing a claim, you make yourself look better to the insurance companies who never know that anything happened. If you do not file a claim, they remain clueless.
Stuff You Might Not Have Thought Of Yet
Bundling
You know those quirky commercials that talk about bundling your home and auto insurance? Believe it or not, it works with boat insurance, too. Your first insurance agency contact should be an email to your existing agent. Let them know you will buy a boat. Ask about cheap boat insurance.
Multi-policy discounts
You could qualify for multi-policy discounts. You can also often qualify for a discount if you put two boats from the same owner on a policy. Yep. Just like there’s a multi-vehicle policy for automobiles, you can also get a multi-boat policy and it is typically cheaper.
Responsible Driver Discount
Ask if you can get a responsible driver discount. Now, don’t laugh. Hear me out here. Insurance companies extrapolate from the existing risk situations from which they know you. So, you hit up your existing auto insurance provider first and ask about boat insurance. They know that you’re a good driver and that can translate to you presenting less risk on the water in their eyes. Even if you just purchased your first watercraft, your existing reputation as a super safe driver can net you lower boat insurance.
Where You Want to Use the Boat
This affects how much you pay. Let’s say your favorite sailing route zips right through the area of a major lake known for accidents. This high claims area costs more to cover and yes, your agency will ask you where you plan to use the boat. You should honestly answer because here’s the straight dope. If you get into an accident, the agency sends an adjuster to investigate. If it comes out that from day one you owned that boat you moored it at that lake and took it out on that lake every weekend, but you had told them you were going to use it on a lake 50 miles away that’s much safer, you invalidate your insurance. The company could refuse the claim and be legally within its rights.
Operating a boat in international waters will cost you more in insurance than operating on quiet inland lakes. The less partying on the lake, the better, because that typically translates to fewer accidents.
How often do you plan to use your boat
How often you plan to use your boat affects your insurance costs. If you only take it out once per month, your insurance costs less than if you wanted to take it out every weekend.
How you use the boat
How you use the boat also matters. Using a boat for occasional fishing trips costs less in insurance premiums than a boat used for tow water skiing, wakeboarding, or parasailing.
Your credit score matters
Of course, as will all insurance, your credit score matters. If it is low, you will pay more in premiums. A high credit score gets you cheaper insurance. Paying your bills on time shows that you are a responsible person. That reduces risk and the company gives you a better rate.
Skimping on coverage
Finally, you could save money by skimping on coverage. You could consider skipping the comprehensive coverage or personal injury protection (PIP), but we do not recommend this. Boat insurance keeps you safer just as it pays for boat repairs. You need full coverage to boat more safely.
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