Boat insurance covers:

• Bodily injury—for injuries caused to another person
• Property damage—for damage caused to someone else's property
• Guest passenger liability—for any legal expenses incurred by someone using the boat with the owner's permission
• Medical payments—for injuries to the boat owner and other passengers
• Theft of the boat
• Physical damage to the boat

Additional coverage can be purchased for trailers and other accessories. Boat owners may also consider purchasing an umbrella liability policy which will provide additional protection for their boat, home, and car.

Boaters should also inquire about special equipment kept on the boat, such as fishing gear, to make sure it is covered and verify that towing coverage is included in the policy.

Boat owners should also inquire about discounts including:

• Diesel powered craft, which are less hazardous than gasoline powered boats as they are less likely to explode
• Coast Guard-approved fire extinguishers
• Ship-to-shore radios
• Claims-free experience
• Safety education courses, such as those offered by the Coast Guard Auxiliary, U.S. Power Squadrons, or the American Red Cross