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Cheaper boat insurance: where can you save safely?
Short answer
You save safely on a higher voluntary excess, an accurate cruising area and a sum insured that matches the boat. You save at your own risk when the policy leaves the winter uncovered, the sum insured is too low or theft of the outboard is excluded.
The premium on a boat policy follows a handful of facts: what the boat is worth, how fast it goes or how much sail it carries, where you take it and how experienced the skipper is. A dinghy on a lake and a sailing yacht heading for the Med sit in different worlds, and no amount of shopping around changes that. Quotes from brokers and comparison sites are therefore only useful once they rest on the same boat, the same waters and the same level of cover.
Some savings cost you nothing. A higher voluntary excess lowers the premium, as long as you could pay it after a claim without strain. Declaring the cruising area you actually use, rather than a wider one just in case, keeps the rate honest. Many insurers also look at the skipper: an RYA Day Skipper or an ICC, a clean claims record and decent security such as a good engine lock can count in your favour. Ask what each of these is worth before you sign.
Other savings only move the cost to the day of the claim. A laid-up or season only policy is cheaper because it covers less, so read exactly what still applies ashore, in the yard and while the boat is being lifted. With our season policy there is no cover from 1 November to 31 March, in winter storage included. A sum insured set too low reduces the premium, but after a total loss the shortfall is yours. And a policy that leaves out grounding, collision or theft of the outboard looks good value until one of them happens. Compare the wording, not just the figure at the bottom.
Worth remembering
Higher excess
lower premium, same cover
Laid-up cover
lower premium, less cover
Save on the premium, not on the protection.
Questions
What owners ask us about this
What is the quickest way to cut my boat insurance premium?
Raise the voluntary excess to a level you could comfortably pay, and check that the cruising area on the policy matches where you really sail. Both lower the premium without taking any cover away.
Is laid-up cover a good way to save money?
Only if you accept that the boat is less protected in winter. With our season policy there is no cover at all from 1 November to 31 March. With other policies, check what remains covered ashore, during lifting and in the yard.
Does cheaper mean worse?
Not necessarily. A low premium with the right sum insured, a sensible excess and the risks you actually face is good value. A low premium bought by cutting cover is not.
Related
Not sure whether you qualify?
Whether it is “Cheaper boat insurance: where can you save safely?” or another question: send us your residence and the flag your boat flies. You will get a straight answer in one email; including a no, if that is the answer.
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