Boat insurance works differently from auto in ways that catch most owners off guard. Agreed value versus actual cash value, navigation territory limits, lay-up credits when the boat is in storage. I'll build your policy around where you actually boat, what your vessel is worth, and how you use it through the season.
Core Coverages
The three coverages that matter most for Arizona boaters.
Hull & Machinery
Physical damage coverage for your boat, motor, and equipment. Whether it's agreed value or ACV makes a real difference at claim time.
Liability
Covers injuries or property damage you cause to others on the water. Watercraft liability claims can be substantial, so limits matter.
Towing & Assistance
On-water emergency towing and assistance when you're stranded out on the lake.
Frequently Asked Questions
+What's the difference between agreed value and ACV?
Agreed value means the policy pays the amount you and the insurer agreed to upfront, with no depreciation deducted. Actual cash value (ACV) means the insurer pays what the boat is worth at the time of the loss, after depreciation. For most boat owners, agreed value is worth the modest premium difference, especially as the boat ages.
+Does my homeowners policy cover my boat?
Only partially, and usually not in a useful way. Most home policies offer limited coverage for small boats (typically under 25 horsepower or under a certain value) while on your property. Once the boat is on the water or being trailered, that coverage largely disappears. Larger boats, motorized vessels, and any boat you use regularly need a dedicated marine policy.
+Am I covered if someone else is operating my boat?
It depends on your policy. Most boat policies include permissive use, meaning someone you've given permission to operate the boat is covered. However, some policies restrict coverage to named operators or require the borrower to have a valid boating license. It's worth confirming the terms before you hand over the keys, especially if you lend it to someone regularly.