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Limit of indemnity (third party)

Boat insurance term, area: Liability

The limit of indemnity is the most the liability section will pay for damage or injury you cause to others. Look beyond the headline figure to any sub limit per injured person: some policies quote ten million in total and then cap personal injury at three million per person. Marina contracts in the UK and around the Mediterranean often set a minimum third party limit, so the figure also decides where you may berth.

What to check: What is the overall limit, and is there a lower limit per person or per event? Does the figure meet the minimum in the marina contract and in the countries you plan to visit?

Related topics

• What limit of indemnity do I need?
• Skipper liability insurance: do you need it when you charter?
• You hit another yacht on a charter: who pays?
• What proof of insurance do foreign marinas ask for?

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