Should I Bundle my Boat Insurance with my Home Insurance?

As a marine insurance broker, this is one of the most common questions I hear:

“Should I bundle my boat insurance with my home insurance?”

On the surface, it seems like a smart move. We’re constantly being told to bundle everything when it comes to insurance. TV commercials make it sound like bundling is the no-brainer way to save with flashy ads, quirky mascots, and promises of big discounts if you just keep it all under one company.

And when it comes to home and auto? That might actually make sense.

But boats? That’s a different story. Let’s talk about why bundling doesn’t always work when it comes to marine insurance.

Boat Insurance is Different Type of Risk

Most insurance agents are excellent at home and auto coverage. That’s their bread and butter, and they do it very well. But when it comes to boats, especially once you’re out on the water, you’re looking at a completely different type of risk.

Boating introduces things like maritime law, fuel spills, wreck removal, and sinking, none of which you’re worried about with your car or house. Even the way your policy is written can be very different. Boat policies should be based on agreed value, meaning you and your agent decide on the boat’s value upfront. That number matters a lot at claim time, and it takes knowledge and experience to get it right.

Many general insurance agents just don’t deal with boats often enough to know how to properly value them, especially when it comes to unique boats like high-performance models, older cruisers, or large yachts. They may not be familiar with the tools used to determine value — things like ABOS, BUC, or JD Power (NADA), or how to access companies that actually specialize in marine risks.

Why a Marine Insurance Specialist is the Smarter Choice

At On the Water Marine Insurance, boats are all we do. Every single day, we’re working with boat owners, reviewing surveys, evaluating values, and placing coverage with marine-specific insurance companies.

Just like other agents do a fantastic job with home and auto insurance, marine is our specialty. If you came to us and asked us to insure your farm, we’d say, “That’s not us,” and happily refer you to someone who focuses on that. And we believe that’s how it should be. It’s okay to specialize, in fact, it’s better for the customer.

Because of our focus, we have access to insurance companies that specialize exclusively in marine coverage. These companies don’t just “also do boats”, like us, they live and breathe it. That means better coverage options, better rates in many cases, and, most importantly, a better experience if you ever have a claim.

Their adjusters aren’t bouncing between home damage and car wrecks. They’re marine specialists and surveyors, they are people who understand things like gelcoat repairs, fiberglass work, engine damage, and haul-outs. When something goes wrong, you want someone who knows boats walking you through the claims process.

Real-Life Examples: The Cost of Improper Coverage

We’ve helped countless customers who originally had their boats insured through their home insurance company, and when we looked at the details, there were some big red flags.

One client had a gorgeous 45-foot Sea Ray in Florida. They had bundled it with their home and auto policy and figured they were fully covered. But when we reviewed the policy, we quickly noticed they were underinsured by over $700,000 for fuel spill liability. They had no idea. That kind of oversight could have been financially devastating if there had been an accident.

We moved them to a marine-specific policy that gave them proper fuel spill protection, agreed value coverage that doesn’t depreciate, and a much stronger overall policy. And we actually saved them money in the process.

Another issue we commonly see is depreciation. Many bundled policies don’t lock in the value of the boat, they depreciate it year after year, which can be a huge surprise at claim time. We make sure our clients understand their policy inside and out, and in most cases, we can offer a lifetime agreed value policy that keeps your boat’s value protected.

This kind of attention to detail is why we have over 70 five-star Google reviews. We’re not just quoting policies, we’re helping people understand what they’re buying and making sure they’re truly protected.

First Time Boater? What You Really Need to Know

If you’re buying your first boat, it’s easy to assume that boat insurance is similar to car insurance. That’s what most of us are used to. But boat insurance is a different animal.

While there are a few overlapping terms, like liability or uninsured coverage, marine insurance includes a whole world of coverage you won’t see on an auto policy. Things like protection and indemnity (P&I), wreck removal, on-water towing, fuel spill liability, mechanical breakdown coverage, named operator restrictions, consequential damage, and even requirements from marinas for additional insured status.

These are specific to boating and if you’re new to this world, it’s easy to miss something important.

That’s why we take an educational approach. We offer custom videos, one-on-one walkthroughs, and resources to help new boaters understand exactly what their policy does and doesn’t cover. We want you to feel confident every time you head out on the water. Especially if you are a first-time boater, price is always a question, check out our blog on the price of boat insurance to answer some of your immediate questions.

So… Should You Bundle Your Boat Insurance with Your Home Insurance?

When it comes to home and auto? Sure, bundling can make sense.

But when it comes to your boat, unless your home insurance company just happens to offer a strong marine product, we almost always recommend against bundling. We believe in doing one thing, and doing it well. And when it comes to marine insurance, that’s where we shine.

So whether you’re insuring a jet ski or a 60-foot yacht, give us a call. We’ll take the time to help you get the right coverage, explain your options, and make sure your boat is protected the right way.

As always remember to wear your life jacket, and I’ll see you, On The Water!