What to Know Before You Purchase Yacht Insurance

What to Know Before You Purchase Yacht Insurance

yacht insurance in Newport Beach

Sailing on a yacht is fun and exciting. Because the boat is large, there may be parties, island hopping, and even exotic shopping trips. That means your days on the water may be fun-filled and hectic. But your yacht is more than a pleasure cruise ship; it is an investment of both time and money. For that reason, you want to protect your investment with yacht insurance in Newport Beach. Here are a couple of things you need know before you purchase that insurance.

Agreed Amount Value

An agreed value means you will get that exact amount from your insurer if your yacht is damaged beyond repair. In cases of partial loss, old items are replaced without deductions of any type because the amount was previously agreed upon.

Actual Cash Value

Actual cash value is paid out by the insurer after the depreciation has been deducted. If the loss was total, pricing guides are used to establish approximate value. If the loss was partial, a percentage of the depreciation is applied before the value is paid.

Arranged Discounts

Insurers may offer discounts are various additions or improvements. Here are a few examples to ask about:

  • Two claim-free years
  • Fire extinguishers
  • Multi-policies with insurer
  • Diesel ignition system
  • Radios

Assured Security

When purchasing yacht insurance in Newport Beach, it is important to know what you are buying and what may be covered. Then you may go on that exotic shopping trip and have a lot less stress, and a lot more security.