Hurricane Boat Insurance: What You Need to Know

If you own a boat and live in a hurricane-prone area, you might be wondering if your boat insurance covers the wind and water damage caused by these powerful storms. Unfortunately, it’s not always clear which types of losses are covered under a given plan — and insurance companies may use this confusion to their advantage.

Let’s break down how boat insurance can work for you after a storm and what to do if your insurance company doesn’t hold up their end of the bargain.

How Much Does Boat Insurance Cost?

The cost of boat insurance varies based on where you live and the size and value of your boat. For instance, insuring a yacht will cost more than a small fishing boat. Annual costs can range from under $200 to over $1,000. In 2017, Florida had the highest average annual rate at $495, while Wisconsin had the lowest at $188.

Do Any States Require Boat Insurance?

Yes. If you own a boat in Arkansas, Hawaii, or Utah, you are required to purchase boat insurance.

When Should I Buy Boat Insurance?

For most policies, to be reimbursed for damage during a hurricane, you need to purchase the policy at least 30 days before the storm. This prevents last-minute buys right before a storm. If there’s a significant risk of your boat being totaled by a storm, it’s worth getting comprehensive boat insurance early. As long as the damage is caused by a hurricane and you bought the insurance well in advance, your losses should be covered after you meet your deductible.

What Should I Do if My Insurance Company Won’t Pay?

If your insurance company denies, delays, or underpays your hurricane damage claim, speak with an attorney as soon as possible. A hurricane claim lawyer can make the difference between financial ruin and a speedy recovery. Even if the insurance company says “No,” you might still be able to recover the money needed to fix your boat.

Morgan & Morgan has experienced attorneys who can take on Big Insurance. Over the past 35 years, we've recovered more than $25 billion and become America’s largest personal injury law firm. Best of all, it costs nothing upfront to hire us, and we get paid only if you win.

Does Boat Insurance Cover Hurricane Damage?

Many boat insurance policies include coverage for wind and flood damage, the main components of hurricane damage. However, in hurricane-prone areas, policies are less likely to offer this coverage since paying for widespread hurricane damage isn’t profitable for insurers.

If your area is vulnerable to tropical storms, it’s essential to check your policy to see what it covers. Speak with an agent if necessary. If wind and flood damage aren’t part of your policy, you can usually purchase a rider that covers them.

Some insurance policies offer options to reimburse you for towing your boat away from a storm area, strapping your boat down, or relaunching it after the storm.

Make sure you have a policy that safeguards your boat in a catastrophe, and always have a plan for what to do if/when a hurricane strikes.

Conclusion

Boat ownership in hurricane-prone areas requires careful planning and the right insurance. Ensure you’re covered for wind and flood damage, understand your policy details, and know what steps to take if your insurance company doesn’t pay up. For the best support, consider reaching out to Morgan & Morgan for a free, no-obligation case evaluation.

Stay prepared, stay insured, and stay safe out on the water.