How Much Does Boat Insurance Cost Per Year in Ontario
A boat insurance policy covers you and your personal watercraft for liability damages if you cause injury to someone or damage their property, as well as any damage to your boat following a boating accident or insured risk such as fire or theft. Purchasing a boat is quite an expensive investment. You could spend even more on repairs and accident claims without Boat Insurance Cost Per Year in Ontario. Thankfully, here’s where boat insurance comes in.
It’s safe to say boat insurance quotes are like ebb and flow, rising and falling, depending on different factors. They don’t call them the Great Lakes for nothing. Southern boat insurance cover progressive in canada is a fantastic place to live if you’re lifestyle involves being on the water.
Whether you like fishing on the Grand River in Haldimand or heading out for a pleasure cruise from one of the many gorgeous marinas along Lake Ontario and Lake Erie, the last thing you want to worry about is your watercraft insurance coverage.
The National Marine Manufacturers Association estimates that there are around 4.3 million Boat Insurance Cost Per Year in Ontario leading the way thanks to 40% of residents who participate in boating. Based on these numbers people are often surprised by the fact that, unlike auto insurance, having boat insurance is not something that is required by Ontario law.
Understanding boat insurance policies
- Policy Period – This displays the policy start and end date, when premiums are due, and how they are to be paid.
- Boat(s) Covered -This shows the boat(s) listed on this insurance policy. If you own multiple boats, they’ll each be itemized accordingly.
- Total Premium – Because each boat you insure has its own value, they also have their own premium amount.
- Coverages – Lists the current coverage on your boat insurance policy. If you have more than one boat, the different coverages will be listed on separate pages.
- Coverage Limits – This shows the maximum limit your insurer will pay for the different coverages you have. Be sure to review these carefully to understand your limits and exclusions.
- Deductibles – This shows how much you will pay out of pocket before your insurance company pays the rest. Remember, higher deductibles mean lower monthly premiums.
How Much is Boat Insurance in Ontario?
Whether you’re Boat Insurance Cost Per Year in Ontario lakes or sailing on international waters, your boat insurance policy includes coverage.
According to the boating rules in Ontario, boat insurance covers water vehicles with a motor, such as yachts, paddle boats, power boats, sailboats, and pontoon boats. Moreover, Jet Skis and Wave Runners can also be insured.
Usually, you’ll need a separate boat insurance policy for motorized boats. Smaller, non-motorized boats used for recreation, such as kayaks, can be insured under your homeowners’ insurance policy.
After comparing prices from various insurance companies that provide boat insurance in Ontario, we determined that the average yearly cost is between $300 and $600. According to this, boat insurance in Ontario would cost you only around $29 to $50 per month.
Factors That Determine The Price Of Boat Insurance in Ontario
Here are the critical factors which determine how much is a boat’s insurance going to cost:
Type of Boat
The boat’s brand, size and speed capabilities are taken into account when getting an insurance quote. Therefore, insurance for a larger and heavier boat will cost more. At the same time, faster boats are more expensive to insure since they are more prone to accidents.
Finally, think about the kind of Boat Insurance Cost Per Year in Ontario. Although a second-hand boat might seem like a pretty good deal, it could be harder to find replacement parts if a boat is on the verge of becoming obsolete on the market. This is why insuring these boats costs more.
Value
Insuring a yacht will set you back significantly more than a small boat. Naturally, you want top-notch protection for your valuable piece of property. However, parts for big-budget boats are much more expensive, therefore increasing repair costs.
Furthermore, if you’re planning on taking out a loan to finance your boat, get an insurance policy that covers depreciation. This can lower your boat’s value.
Storage and Usage
Standard boat insurance offers coverage for your boat while it’s on water. If you want to station your boat at a marina, you’ll likely need protection against theft, vandalism, or other damage. Hence, you’ll need active insurance all year long, no matter where you store your vessel.
Previous Claims and Credit History
Your premiums will increase if you’ve been in several boating accidents and made claims on your insurance. Insurance companies usually perform background checks on your history at other insurance companies. Keep in mind that car accidents are just as important as boating accidents.
Safety Equipment
Insurance providers value boat owners’ attention to safety, meaning you could reduce your insurance costs if you have enough safety Boat Insurance Cost Per Year in Ontario. Still, life jackets and rafts are just the bare minima. You’ll also need to invest in a GPS system, radar, an automatic fire extinguisher system, and a depth finder.
Education
Educating yourself and receiving proper boat training can earn you some points at your insurance company. Insurance providers want to see that you can correctly handle yourself while sailing. Make sure you only take accredited courses, as these give you a better chance of a lower insurance rate.
Why Do You Need Boat Insurance In Ontario?
Owning a boat insurance policy in Ontario is not required. Nevertheless, proof of insurance is necessary if you want to park or store your boat in a marina.
Using a marina in Ontario is impossible if you don’t have boat registration, which costs an additional $250. Boat registration is mandatory in Ontario for watercraft with over 10 horsepower, as well as for international sailing.
Most lenders will require you to obtain insurance before approving your loan if you decide to finance your boat.
Let’s quickly go over the main reasons why you should get boat insurance in Ontario.
- Storage and parking privileges at marinas
- Get covered in case of theft or other physical damages
- Secure financing for a new watercraft
- Secure your boat investment
- Independent financing that doesn’t reach your home insurance policy
- Injury coverage of medical bills and treatments for other people on your boat
- Guarantee the worthiness of your watercraft over a longer time frame
While investing in Boat Insurance Cost Per Year in Ontario may not be necessary, it is the smart thing to do.
A boat insurance policy covers you and your personal watercraft for liability damages if you cause injury to someone or damage their property, as well as any damage to your boat following a boating accident or insured risk such as fire or theft. Purchasing a boat is quite an expensive investment. You could spend even…