The Hidden Gaps in Boat and Waterfront Property Insurance
“A well-structured insurance policy can mean the difference between a minor setback and a financial disaster.””
Story by: Master Captain Ricardo Ferrer
Owning a boat or waterfront property is a dream for many, offering endless recreation and breathtaking views. However, when disaster strikes, whether from a hurricane, storm surge, or a boating accident, many owners realize too late that their insurance coverage has critical gaps. As a public adjuster specializing in marine claims, I’ve seen firsthand how policyholders can be caught off guard by exclusions and limitations that leave them with costly out-of-pocket expenses.Understanding Marine and Waterfront Insurance Coverage
Standard homeowners’ insurance, waterfront properties and boats require specialized policies to address risks like water damage, high winds, and liability from marine-related accidents. When reviewing coverage, here are key areas to focus on:
Hurricane Protection – Many policies don’t cover storm surge or flood damage. For boat owners, hurricane haul-out coverage helps cover the cost of relocating vessels before a major storm.
Dock and Seawall Coverage – Standard homeowners’ policies often exclude docks, piers, and seawalls or provide limited protection. If your property relies on these structures, additional endorsements or separate policies may be necessary.
Agreed Values vs. Actual Cash Value – Insurers may reimburse boat damage based on actual cash value (depreciated amount) rather than agreed value (pre-determined amount). Verify your policy to avoid unexpected losses.
Salvage and Wreck Removal – If a boat sinks, some policies only cover damage repair, not removal, which can cost tens of thousands of dollars. Ensure your policy includes salvage and wreck removal coverage to avoid financial surprises.
Liability and Pollution Coverage – Boat owners can be held legally responsible for fuel spills or environmental damage after an accident. Having full spill liability coverage can prevent expensive fines and cleanup costs.
Asking the Right Questions
When purchasing or reviewing your policy, don’t just focus on cost—ask about exclusions, limits, and deductibles. Key questions include:
Does my policy cover storm surge and flooding?
Are my dock and seawall included in my coverage?
How is my boat valued in a total loss scenario?
Do I have salvage and wreck removal protection?
What liability coverage do I have for environmental damage?
Final Thoughts
A well-structured insurance policy can mean the difference between a minor setback and a financial disaster. Taking the time to ask the right questions and ensuring you have the right coverage can protect your investment, property, and peace of mind.
Free one-on-one policy reviews to help boat and waterfront property owners understand their coverage and avoid costly surprises. Don’t wait until disaster strikes—review your policy today.
Master Captain Ricardo Ferrer
NFIP-Certified Public Adjuster | Marine Surveyor
Expert in Boats, Yachts, and Airplane Claims
Ricardo@boatyardclaims.com | 469-965-5655
EC Adjusters: 32075 Ramble Way, San Antonio, FL 33576