Insuring Your
Sports and Recreation Vehicles

Boats, personal watercraft, ATVs and recreational vehicles are exciting modes of transportation. They provide a great means of escape on weekends and vacations, but ownership of these thrill-seeking vehicles creates the need for special insurance to protect you, your passengers and others. While all recreational-type vehicles can be protected by the same basic coverages, each one has its own special requirements and restrictions. This brochure, prepared by the Independent Insurance Agents of America, offers some basic information about insuring the vehicles you use for sports and recreation.

Basic Coverages

At a minimum, boats, jet skis, ATVs and recreational vehicles need "liability" and "comprehensive" insurance coverage. Liability protects you if your vehicle injures someone or damages to property owned by someone else, and comprehensive insurance protects your property in case of vandalism, damage or destruction caused by theft or fire. Depending on the age and value of your investment, you may want to purchase collision insurance, which provides coverage for damage you cause to your own property.

Boats

The amount you pay for your boat insurance will depend on many factors including the value of the boat and the value of your boating equipment, the engine horsepower and whether it is in-board or out-board, and the length of the boat. You may purchase additional coverages for such things as such as Fuel and Other Spillage Liability, your boat trailer, medical payments, personal effects and liability to protect you from an uninsured boater. You may be eligible to receive lower rates if you hold a captain license or have completed safety courses provided by the U.S. Coast Guard Auxiliary or Power Squadron Courses. You may also receive discounts for having safety equipment on board or providing protective storage for your boat during non-use or off-season. 

Personal Watercraft

The price of insuring a personal watercraft varies depending on its engine power and value. Your insurance costs will typically be higher for a personal watercraft with more than 500 cc. You also may obtain insurance to protect your trailer or to pay you for medical payments if you are in an accident.   

• Replacement Cost/Purchase Price - In the event of a total loss, you will receive a new unit equal to the model, class, body type and equipment of your previous one.  You will be compensated for the actual purchase price of the vehicle.
• Personal Effects - Your valuables (clothing, jewelry, etc.) may be covered against most hazards.

Other coverages you may want to discuss with your independent insurance agent are Towing and Labor or Emergency Expense Allocation insurance. Special rates may apply if you are more than 45 years old and have a good driving record.

A Final Note

All recreational-type vehicles can be protected by the same basic policy. Your independent insurance agent can provide you with more details about this special insurance and guide you in purchasing the best coverage to maximize your enjoyment and meet the insurance needs for your recreation equipment.