Are you a watercraft builder, boat dealer, renter or boat yards or boat repair service? Of course, the main focus of your business is doing business. In order to do that right without the worries of all the associated risks, you need to have the specialized insurance coverage that will protect you from any of the related commercial liability risks.
Below you will find a brief synopsis of each of the different types of insurance as they relate to the specific niche in the industry.
Boat Manufacturers Coverage
The most difficult exposure related to the boat manufacturer is products liability. This insurance in general is written on a claims-made basis and as specialty insurance. Moreover, because of the material used in construction as well as the flammable adhesive agents bonding Due to the varieties of materials utilized and the flammable bonding substances and paint utilized in constructing the boats, insurance companies have deemed property risks as heightened exposures.
Stored boats may also need coverage that includes those sold at the dealership.
Boat Dealers Coverage
Related insurance covers new watercraft as well as second or third-hand boats that the dealer sells. Coverage for boats includes watercraft operated for land use as well as water use. Insurance policies are designed to shield the boat dealer’s stock of boats as well as the associated accessories and supplies that are also sold to the public. Correlated insurance incorporates property and marine coverage and is generally written on an all-risks basis. The boat or watercraft dealers insurance is similar to open automobile lost insurance and garage keepers legal liability insurance coverage.
Boat Rental Coverage
Boat rental businesses rent watercraft based on an hourly or day’s use or as an extended rental for the entire summer season. Because of the water risks and inexperience of the novice operator, the related exposure is on an increased level. So many boat rental commercial establishments are found in resort or hotel areas, confining the rental business to the summer months. But because watercraft and boats need to be maintained, repaired and stored when the season is over, the exposure to physical damages exists throughout the year.
Boatyard/Boat Repair and Servicing Operation Coverage
Boatyards and boat repair and servicing commercial centers repair and service boats they are entrusted with by the customers. These operations haul the boats to the shore side during the fall, store them during the winter and launch them in the spring as well. The associated commercial general liability is similar to that of the car repair shop, plus the risks related to water activities.
The insurance companies view boat storage and moorage perils as heightened exposures.