So you just bought your first boat? You are ready with life vests and have taken boating classes to prepare you for your future summers on the open water. However, there may be one important part of boating preparation that you may have forgotten. That vital component is boat insurance. If you are completely new to the boating experience you may by wondering about the average boat insurance cost. You should know that every case is unique, and there are several factors that go into determining your premium.
Factors That Help Determine Costs
For starters, many insurance agencies can charge around 1% of your boat’s price. Therefore, if your boat was more expensive you can naturally expect a higher rate. Still, there are few different other factors such as past driving history. If you have had run-ins with the law about driving while inebriated or boat crashes, your premiums may go up.
Another factor to keep in mind is your location. If your boat is stored in an area that is prone to hurricanes or storms you may find yourself with above average rates. Also, what you plan on using your boat for matters as well. If you use your boat for small fishing trips you may pay less than those that travel long distances.
It is imperative to figure out your future boat insurance cost in order to budget your monthly expenses. With this information you are now better prepared to hit the water.