Inherited a boat: what happens to the insurance, and what should you do now?

An inherited boat seldom arrives at a convenient moment. It sits on a mooring or in a yard, the berth fees keep running, and nobody in the family quite knows how it is insured or where the papers are. In most places the boat becomes part of the estate, and the policy does not simply lapse on the death of the owner. It tends to continue for the benefit of the estate until the executors or administrators deal with it, and the premium still falls due. What it does not do is look after itself.

Until the estate is settled, the executors usually act for the boat: they deal with the insurer, the marina and any buyer. If several heirs inherit together, they may own it jointly until they agree who keeps it or decide to sell, and the insurer will want one named contact. Probate or its local equivalent can take months, and a boat left unvisited for that long is exposed to flooding, theft and a mooring line that chafes through. Anyone who wants to take the helm needs a licence or certificate that suits the boat and the waters, because the late owner's qualifications do not pass to anyone else.

In the first weeks, three things matter. First, tell the insurer and the marina about the death and gather the documents: the policy schedule, bill of sale, invoices, registration papers and the grant of probate or will once you have it. Second, check where the boat lies and whether it is secure, pumped out and properly moored or laid up. Third, establish its value: a survey or written valuation helps both with the estate and with setting the right sum insured. If the boat is to be sold, ask the insurer before handover how the policy treats the buyer, so nobody is left without cover in between.

Worth remembering

Tell the insurer about the death before the boat goes out again.