Boat Insurance in Texas

What is boat insurance?

Boating carries inherent risks, and it is important to take precautions to protect against these risks. Even when wearing live vests and carrying safety equipment, however, accidents can still occur on the water. Boat insurance policies do nothing to prevent accidents — but can be of great help to Texas boaters if something ever happens.

Boat insurance is akin to car insurance for watercraft vessels, but there are points of difference between the two. This is insurance that’s specially tailored for insuring boats.

Who in Texas should carry watercraft insurance?

Most Texas boat owners should consider purchasing watercraft insurance. Insurance is available for powerboats, sailboats, jet skis, and sometimes even small manually powered vessels.

What coverages are included within watercraft insurance policies?

The protections found in watercraft policies include some coverages that are like what’s found in auto insurance policies and other coverages that are found only in watercraft policies. The ones that are also found in auto policies have their terms adapted for when they’re in watercraft policies.

Some examples of coverages that are frequently found in both watercraft and auto policies include:

Should boaters purchase insurance for paddle boards and kayaks?

Smaller boats, such as paddle boards, kayaks, canoes, skiffs and sailing dinghies are becoming increasingly expensive. More and more boaters who have these vessels are thusly considering purchasing insurance in case of damage.

Even when using an older and/or cheaper vessel like this,.though, watercraft insurance can still provide important liability protection. Without liability protection, even a paddle boarder or kayaker might be held financially responsible for a tragedy such as drowning. 

An insurance agent who specializes in boat policies can help paddle boarders and kayakers determine whether their risk exposure merits purchasing a boat policy.

Are boats covered by homeowners insurance?

Coverage for boats isn’t necessarily a standard feature of homeowners insurance policies, but it’s found within a good number of homeowners policies. Before relying on a homeowners policy for insuring a boat, however, homeowners should carefully read the terms of their policy.

When homeowners’ policies provide coverage for boats, they often limit the type of boat that’s covered. Terms frequently restrict the length of the boat (e.g. to boats 15 feet or shorter) and/or the power of the boat (e.g. to 50hp or less). Obviously, power isn’t relevant for paddles and sails.

An insurance agent who specializes in boat policies can help homeowners sort through the details of their particular homeowners’ policy and boat. If coverage for a boat isn’t available through a homeowners policy, either because no coverage or insufficient coverage is offered, a separate boat policy is probably in order.