Before heading out for some chill time on your pontoon, you must make sure that nothing could happen to disturb your peace. This is where pontoon boat insurance plans come in handy.
So, how much does pontoon boat insurance cost? Is it really necessary? And what are the best coverage plans to get? Stick around to find out!
Why Get Pontoon Insurance?
There are a few states, Utah for instance, that mandate pontoon insurance among the dictated safety guidelines. So, it’s important to check your state’s laws with regard to pontoon insurance and adhere to them.
Further, many marinas require some form of insurance to accommodate pontoons. If you wish to slip, moor, or store your boat at such marinas, you’ll probably need liability insurance, at the very least.
If you’re paying for your pontoon via a bank loan, insurance is a must, too.
The most important reason for getting insurance, however, is that accidents happen. The US Coast Guard reported about 4,100 accidents that involved recreational boats, such as pontoons, from the year 2019. And that in the year 2019 alone, $55 million in total property damage!
In case of an accident, the last thing you want to worry about is the money, and that’s exactly why insurance is important.
What Factors Affect the Cost of Pontoon Insurance?
Before you consider your insurance options, you need to be aware of the different factors that affect insurance costs so that you can get the best deal there is. These factors include:
- Condition of your pontoon
- Duration of storage
- Place of storage (dock vs boat lift)
- Value of your pontoon
- Where you use your boat (local peninsula vs open waters)
- The insurance company
- Type of coverage
- Driving record
What Types of Coverages Are There?
Here are the possible coverages you should consider for your pontoon.
Liability
This form of insurance covers the damage you do to others, be it a personal injury, loss of life, or damage to their boat. It could also include an attorney’s fee if you’re being sued for an incident that is covered under your insurance policy.
Medical Payments
If you or your passengers require medical care, all expenses are covered with this type of insurance.
Consequential Damage
It covers any losses that are a result of the weather or the wear affecting your pontoon over time. Examples are breakage from wave action, rot, mold, or corrosion.
Personal Property
It covers equipment that isn’t needed for the boat to function, such as fishing gear and stereos.
Uninsured Boater
If another boat collides with yours and they’re uninsured, the compensation could be very limited, not even enough to cover your medical bill. Also, some boaters could even go for a hit and run. This policy covers you in both cases.
Trailer Coverage
If any damage happens to your boat trailer; if it’s stolen or if it causes damage to another vehicle, it’s all covered by this policy.
Wreck Removal
Wreck removal includes complete coverage for any damage caused by a collision with a vehicle or an object. It also encompasses the retrieval of the pontoon if it sinks.
Emergency Services
If you ever need emergency towing, fuel, oil, or battery delivery, your insurance will have it all covered.
Total Loss Replacement
If your boat is unsalvageable or fixing it is more expensive than the boat’s value, you could get a total replacement for it.
Comprehensive Insurance
It helps you replace or fix your boat if it was vandalized, stolen, or in a fire; anything other than a collision.
How Much Does Pontoon Boat Insurance Cost?
As you can tell by all the number of factors that affect it, boat insurance costs can vary greatly.
On average, basic liability coverage can cost you about $10 per month if your pontoon’s value is less than $40,000. If we’re looking at a bigger pontoon it would range from $20 to $30 per month.
More comprehensive insurance can cost an average of $30 per month or more, according to the size of your boat.
Agreed Value Policy vs Actual Cash Value Policy
If you’re applying for coverage to support you in case your pontoon is damaged, you’ll be choosing between an agreed value policy and an actual cash value policy.
If you go for an agreed value policy, you are paid an amount you agreed on beforehand with the company. Although this policy is more pricey, you’ll be getting the total value of your boat.
An actual cash value policy, on the other hand, pays you the current value of your boat in the market before its loss. It takes into consideration the depreciation as well as wear and tear that occurred to your boat by use.
Do Pontoon Insurance Plans Have Discounts?
One way to get a discount on your pontoon insurance is by getting the same insurance company to cover your car and home. Nonetheless, some people find specialty insurance companies a safer option. So, make sure you choose what’s best for you.
Another thing you can do is to choose a higher deductible, which will give you a lower premium. But it’s still a risk that you should consider before delving into it since you’ll be covering most of the loss if anything happens. You can ask your broker for more details on different deductibles.
Also, there are some qualities that insurance companies find attractive in a client. Those include having a claims-free insurance record and a clean driving record. Additionally, having experience with a pontoon boat and taking a boater safety training course could land you a better offer.
Final Words
Now that you understand the different coverage options and the expected range your pontoon’s insurance will cost you, you might be wondering, what’s the next step?
We’d recommend reading more about the different insurance companies to know your options. And you can try out the online 90 secs insurance quote determiner most companies provide.
Lastly, consult a broker with regard to the right coverage plan, and be sure to investigate the possibility of a discount.