Insuring a Boat in Alberta
Is there anything better than being on the water on a nice sunny day in Alberta? Whether you have a small boat for fishing or a high-powered boat for water sports, insurance can help give you peace of mind you can afford repairs or replacement if something unexpected happens. Fortunately, it’s easy to protect your boat! Coverage can be customized based on the type and size of boat you own and what you plan to do with it. Read on to learn more about boat insurance in Alberta.
What is covered by boat insurance in Alberta?
Your coverage will depend on your individual policy, but many policies offer similar protection. They usually offer two areas of coverage: property damage and liability.
Property Damage: If your boat or its equipment is damaged due to an insured peril like fire, boat insurance can help cover repairs or replacement.
Third-Party Liability: If a third party (like passengers or people in another boat) are hurt or you accidentally damage someone else’s property with your boat, your boat insurance’s liability insurance can help cover expenses. This also includes legal expenses if you’re sued after such an incident.
The extent of coverage will vary by policy and based on the type and amount of protection you choose when you purchase your boat insurance. There are also optional coverages available in Alberta.
Optional Boat Insurance in Alberta
There are optional boat insurance coverages available for Albertans, including:
Additional Living Expenses: If you’re living on a houseboat, you may require additional living expenses if you ever have an insured claim. This will help you cover those extra expenses if you’re forced to vacate your home due to a covered peril while repairs take place.
Agreed Value Coverage: If your boat is a covered total loss, your boat’s full value as agreed on at the start of the policy will be paid.
Boat Trailers: This extends your physical damage and liability coverage to include your boat’s trailer.
Communication and Navigational Equipment: Extends your coverage to include specialized communication and navigational equipment, or ensure these items are covered to their full value.
Disappearing Deductible: Your deductible lowers over the period you’re claims-free. (A deductible is an amount you pay if you have a covered claim before your insurance kicks in.)
Emergency Towing: This helps cover the costs of towing your boat to shore if you’re stranded on the water.
Loss of Use: If your boat is being repaired after an insured claim, your boat insurance will cover a temporary rental to use while you wait.
Navigational Extensions: If you’re planning on taking your boat further afield than standard navigational limits, this optional coverage will extend your boat insurance to cover your adventures.
Security Equipment: This extends your coverage to security equipment to keep your boat safe.
Some insurers may not offer all of these coverages while others may include them in your policies. Your broker can help you determine what you need for your boat and how you use it.
What isn’t covered by boat insurance in Alberta?
It will depend on your individual policy as to what isn’t covered by your boat insurance in Alberta. However, these are some common exclusions:
- Commercial use of your boat.
- Damage caused by willful misconduct or under the influence of alcohol.
- Loss of value (due to age of the boat).
- Theft if security devices are not present.
- Wear and tear damage.
It is important to note that there are certain requirements while your boat is laid up in the winter months including having it professionally winterized.
Speak with your broker or check your policy documents for more information on exclusions to your boat insurance.
Are there discounts available for boat insurance in Alberta?
Different boat insurance companies in Alberta offer different discounts. Here are some common ones:
Bundling: Many insurers offer a discount for multiple or bundled policies, such as having your home, car and boat insurance with the same insurance company.
Claims Free: If you haven’t made a claim in a certain period, you may be eligible for a claims-free discount. This discount may increase over time.
Dry Dock: If your boat is dry-docked, you may be eligible for a discount.
Safe Boating Course: Many insurers offer a discount if you’ve taken an approved safe boating course.
Why do I need boat insurance in Alberta?
There are a few reasons it’s a great idea to have boat insurance in Alberta:
- If you can’t afford to cover repairs or replace your boat if it’s damaged or destroyed.
- If you can’t afford legal expenses if someone was ever hurt while on your boat or while you’re operating your boat.
- Your boat can still be damaged in or out of the water. Boat insurance can cover both!
- Boat insurance may be required where your boat is docked or put in the water.
What affects boat insurance prices in Alberta?
Every insurer calculates its rates differently. Here are common factors that impact your boat insurance rates in Alberta:
- The type of boat.
- The length of the boat.
- The value of your boat (market or agreed value or purchase price if it’s newer).
- Where your boat will be stored.
- Where you’ll be using your boat (lakes, ocean, in the province only, elsewhere).
- What activities you’ll use the boat for.
- Your age and boating experience level.
- Your insurance options.
- Your insurance history.
- Available discounts.
Insurance companies calculate rates on the likelihood of a claim and the cost of repairs.
Things to Consider When Buying Boat Insurance in Alberta
If you’re looking for boat insurance in Alberta, it’s important to get the right policy. Consider the following:
- Does this policy provide the coverage I need?
- Is the equipment on my boat covered?
- Is my boat covered while in storage or during transport?
- Is this the best coverage for the best price?
- How does the claim process work?
- Do I have to bring the boat to an authorized repair shop?
- Can I have an agreed value loss settlement for my boat?
- What are the policy exclusions?
An insurance broker familiar with boat insurance can help answer these questions and get you the right policy. Contact us today if you’re looking for a boat insurance quote in Alberta!