Insurance is an important part of people’s life because, through insurance, a person can handle their financial expenses. Similarly, if you insure your boat, the insurance will give you a hand during your losses.
A few years ago, I bought a car and took out insurance for my car. Fortunately, the insurance policy assisted me in managing the loss of my car when I faced an accident after some days of buying the car.
However, a boat trailer is an equipment through which you can move your boat from one place to another on land. You will get more information about it in the later part.
Now, do I need boat trailer insurance? You need to go through this article to get clarification.
Boat Trailer: What Is It?
Boat trailers enable you to transfer your boat between locations on dry land or while it is in the water. Additionally, boat trailers normally come with two feet beyond the length of your boat. And boat trailers are sturdy enough to support the boat’s weight.
Moreover, boat trailers are available in various designs, including painted and welded versions. And it is necessary to have insurance for boat trailers. Additionally, use the painted trailer for sailboats entering freshwater rivers or lakes as they are more prone to corrosion from salty water.
In most situations, boat trailers are vehicles, allowing them to make pretty good investments. Users of boats who keep them on dry land during the winter should assure their insurance policy. And the insurance plan should include adequate boat trailer covering to safeguard both the boat and the trailer.
Boat Trailer Insurance: The Overview
Boat trailer insurance is included within the broader category of trailer insurance because it is attached to the back side of your vehicle and is out of your direct supervision. As boat trailers are a unique asset, boat trailer insurance will cover them individually.
Alternatively, you can purchase specialized insurance that offers additional support if this coverage is not already included in one of your existing policies.
More About: Is RV Insurance Required In Florida?
Boat Trailer Insurance: Do I Need It?
Now, after knowing about boat trailer and boat trailer insurance, you might ask, ‘do I need boat trailer insurance?’ Therefore, to get the answer, keep an eye below:
Although there are some countries that mandate liability insurance for boats, there is no government regulation that mandates users of trailers to get liability insurance. But without insurance, you can be responsible for the costs of an accident that was caused by your boat trailer.
Furthermore, if you are wondering whether you should include your boat trailer within your boat insurance coverage, take into account the following aspects. These aspects could include how frequently you are using your boat trailer, how essential safety is to you, and the insurance amount.
- The value of your boat trailer.
- The age and longevity of your boat trailer.
- The cost of replacing your boat trailer.
I generally advise most boaters to purchase some boat insurance plan. But insurance for boat trailers is not always necessary. Nevertheless, suppose you take into consideration the aspects mentioned above and decide that you need to secure your boat trailer. In that case, the additional cost to include boat trailer insurance is worthwhile.
However, the insurance provider determines whether or not your boat insurance covers the boat trailer. The reason is that not all insurance providers will include coverage for boat trailers in their basic insurance plans.
Since boat insurance can partially cover losses to the boat trailer, these policies are not always versatile as a separate policy that covers the trailer. However, the trailer alone will be more protected in the extended coverage.
Boat Trailer Insurance: The Coverages
You will now go through the fundamental categories of boat trailer insurance coverages, which you should look at or inquire about before making a purchase.
- Coverage For Liability
When you hurt someone else, both bodily and property injury, your liability insurance will cover it. Your damages or injuries caused while boating is not covered by liability insurance. Therefore, it will compensate for the injury you committed to someone else.
- Insurance For Collisions
The damages to your boat trailer will be covered by collision insurance; other damages will not. If you already have collision insurance and are injured in an accident, the insurance will only cover your boat trailer’s damages; it will not fix anybody else’s damage.
- Comprehensive Insurance
Comprehensive insurance covers collision-related damages and vandalism, theft, weather, and fire-related injuries, such as storms, winds, and hurricanes, among other things, for your boat trailer.
- Roadside Assistance
Each damage to a towing vehicle is covered under roadside service insurance. Your roadside assistance insurance will cover any failures, maintenance, running out of gas, etc. while transporting the boat.
Regarding boat trailer coverage, these are the primary categories of insurance that you may get. A few of them are comparable to boat insurance coverages, including liability, collision, and comprehensive insurance.
Boat Trailer Insurance: The Cost
You might be asking if boat trailer insurance is pricey after learning about the different types of coverage it offers. How much does insurance for boat trailers often conduct?
Insuring a boat trailer may usually charge $30. But the price can range from $15 to $80 or more based on your selected coverage and insurance policy. Additionally, boat trailer insurance costs are mostly determined by the chosen coverages.
Furthermore, it relies on the coverage options and the kind of trailers, such as a tri-axle, bi-axle, or single axle. As a general guideline, the coverage for a boat trailer could range from 1.5 to 5% of the trailer’s price. The insurance rate for a $1,000 trailer may often range between $15 and $50 or more.
However, you can easily buy roadside assistance coverage from ‘BoatUS‘ for $15, and your roadside assistance coverage will compensate for any damages to the trailer. Your roadside assistance insurance will cover any repairs, a lack of gas, breakdowns, etc., that occur while towing the boat.
Therefore, depending on the organization, it may occasionally necessitate less or more. For instance, a progressive insurance provider will cover your expenses when your boat trailer shuts down around 100 miles from your house. You can get up to $500 refunded from them to cover travel, lodging, and other expenses.
You do not have to choose all the coverages; you can choose the ones most important to you, which will significantly lower your insurance price. Moreover, you should not choose all coverages, which would raise your insurance rate, unless you plan to employ your boat trailer frequently.
Boat Trailer: Are They Covered By Homes Or Auto Insurance?
Homeowner’s insurance will cover any damage to the boat trailer when parked or kept at home. Most of the time, though, it will only insure small boats. Additionally, homeowner’s insurance will provide less coverage than insurance specifically for boat trailers.
I have already said your house insurance will provide you with some coverage if your boat trailer is damaged while you keep your trailer at your house. But if you depend entirely on a homeowner’s insurance plan in the case of damage, you will have significant gaps in the coverage of your boat trailer. And the reason behind it is that the types of coverage for a home and a car differ.
Additionally, small boats, not large ones, are typically covered by home insurance. And, based on how the accident occurred, insurance might or might not insure your trailer if it is not kept at your residence.
Moreover, as I said before, this insurance might not be versatile as a separate policy just for the boat trailer. The reason is boat trailers might only be covered in specific situations.
Therefore, what should you do if you frequently tow a boat trailer and travel great distances? You should get supplementary insurance protection for your boat trailer in that situation. And the reason behind it is you should not always depend on the homeowner’s insurance plan to pay for the expenses of trailer damages.
Boat Trailer Insurance: The Difficulties In Obtaining It
Since numerous insurances cover the boat trailer, you may encounter some uncertainty when submitting a boat trailer insurance policy:
- Firstly, imagine your boat trailer getting broken in a car accident while towing your boat in the lake. In that situation, your boat’s trailer coverage, not your boat or house owner’s insurance, will cover the expense of maintenance or replacement for the trailer.
- Secondly, imagine that a tree was to fall on your boat trailer because you had it parked at home and there were strong winds or storms. If that happens, your boat’s insurance will make up the difference. Additionally, you could even file a claim under your homeowner’s policy, but it would not provide complete coverage.
- Finally, imagine your trailer knocks over a person crossing a parking area. In these situations, the liability insurance of your car insurance plan would handle any medical costs and also losses toward other vehicles or property. Furthermore, the trailer coverage under your boat insurance plan would pay for trailer-related repairs.
There are also some other concerns. The insurance coverage will vary depending on the sort of accident, where it occurred, and how it occurred, which may cause some confusion for the owners. Therefore, you must carefully review your insurance coverages when committing to them.
Boat Trailer: How Much Does It Cost If I Do Not Have Coverage For It?
If you are involved in a serious accident, you can be forced to pay the total price of the trailer or possibly more. If you cause harm to property or people due to an accident, your car insurance can likely cover your liabilities. But car insurance can cover only the maximum amount of your liability coverage.
And the maximum for liability insurance is typically rather big, ranging from $10,000 at the lower end of the scale to $100,000 or $50,000. It is taken to ensure that there will be adequate money to cover medical expenses and other costly damage.
Nevertheless, the price could increase significantly if your boat trailer is involved in a seriously bad accident. You would then be forced to pay the additional funds out of pocket.
And that is all you would be responsible for paying. If your boat trailer is stolen or damaged in an accident, your auto insurance will not pay for the necessary repairs or replacements. You require coverage from a trailer insurance policy and a boat insurance policy.
Frequently Asked Questions
You can follow this section if you need further clarification regarding ‘do I need boat trailer insurance.’
In Connecticut, Do Boat Trailers Require Insurance?
Connecticut law does not mandate trailer insurance if you use it exclusively for personal purposes. It can be necessary to obtain coverage if you bought the trailer with a loan or are using it for commercial purposes.
Do Trailers Need Insurance?
Typically, no. You often are not needed to insure a utility trailer separately because it is not motorized. Rather, the liability insurance you possess for your towing vehicles will shield you when you are held responsible for accidents or property damage while towing the trailer.
Does North Carolina Require Insurance For Trailers?
According to the law, every type of vehicle or trailer must have uninsured and liability vehicle protection. You must hold bodily harm liability coverage of at least $30,000 for one person and $60,000 for all victims.
How Much Will It Cost In Texas To Activate A Boat Trailer?
Trailer registration weighing 6,000 pounds charges $45 in total. In some cases, registering the trailer is sufficient to give it a title. However, on ‘Texas.gov,’ you can renew your registration online.
Does Texas Mandate Boat Liability Insurance?
According to Texas law, boaters are not obligated to have coverage of boat insurance. Still, if you borrow your watercraft, your lender might obligate you to have coverage of boat insurance. A Texas boat insurance company can aid in defending you from unpredictable losses due to mishaps at sea and occurrences like fire, theft, and vandalism.
Does Connecticut Require Registration Of All Trailers?
A ‘camp trailer’ is registered in Connecticut for personal use. Examples of such trailers include boat trailers, utility trailers, towed campers, and snowmobile trailers. Then, you must submit a finished trailer record of sale along with your registration paperwork, whether the trailer is new or old.
Why Is Boat Insurance Necessary?
When you own a boat, you are financially protected from any accidents or damage you may cause to others. Your boat and trailer may be covered by insurance in the case of theft or bodily damage. Powerboats are among the many boat kinds that can be insured.
Is Covering The Boat When Trailering It Better Or Worse?
If you have a cover for your boat, any extra stuff will stay put while driving. Ensure that the boat cover is fitted correctly to protect your boat and the boat cover.
Wrap Up
Finally, I want to conclude by answering your question, which was, ‘do I need boat trailer insurance’ that boat trailers are not required to have any insurance per law. But you may get insurance for one, depending on your requirements and activity.
However, not all boat insurance providers will provide coverage for trailers. You can ultimately choose whether or not you require trailer insurance.
Moreover, you can read this article to get more relevant information regarding boat trailer insurance, such as the coverages, the cost, and some confusion. It may be difficult during the first reading. But if you read it twice or thrice, the information will be cleared.
Mehedi Hasan is an insurance expert with over 6 years of experience in the industry. He has a deep understanding of various types of insurance policies and is skilled at helping clients find the coverage that best fits their needs. In his current role, Mehedi works as a consultant, advising businesses and individuals on the best insurance options for their specific situations.
He is also a frequent speaker at industry events, sharing his knowledge and expertise with colleagues and professionals in the field. Mehedi holds a degree in insurance and risk management and is committed to staying up-to-date on the latest industry trends and developments. In his free time, he enjoys reading, traveling, and spending time with his family.