Personal · Toys
Insurance for boats, yachts and exotics
The things that make life fun carry their own risks — and most homeowners and auto policies cover them poorly or not at all. We insure each toy on its own terms and line it up under your umbrella.
Schedule a Coverage ReviewDoes homeowners insurance cover boats and other toys?
Only barely. A standard homeowners policy limits coverage for a watercraft and its trailer and equipment to about $1,500, and excludes liability for many owned boats above set horsepower or length, such as outboard motors over 25 horsepower or sailboats 26 feet or longer. Motorized vehicles like snowmobiles, ATVs and golf carts are largely excluded away from the home premises. Each of these toys needs its own policy to be properly insured.
How should a boat or yacht be insured on the Great Lakes?
A boat or yacht should be insured on an agreed-value marine policy that covers the hull, machinery and equipment, liability (protection and indemnity), medical payments, uninsured boaters, towing and wreck removal. The policy states navigation limits, so it must specifically include the Great Lakes and any waters you cruise, and it sets a lay-up period when the boat must be out of the water or out of commission. Larger vessels with paid captains or crew need crew liability coverage, because maritime employment law applies instead of standard workers' compensation.
| Coverage element | What it actually touches | Where it stops |
|---|---|---|
| Hull & machinery | Physical damage to the boat, engines and equipment, at agreed value | Wear, gradual deterioration, marine growth; outside navigation limits |
| Protection & indemnity | Injury to others, damage to docks and other boats, legal defense | Paid crew unless endorsed; racing unless endorsed |
| Wreck removal | Removing a sunken or stranded boat when required by law | Your policy limit, sometimes a separate sublimit |
| Lay-up warranty | Coverage while the boat is laid up for the season | Use during the lay-up period without notifying the insurer |
How are collector and exotic cars insured?
Collector and exotic cars are insured on agreed-value policies that pay a value set in advance, rather than the depreciated value a standard auto policy pays after a total loss. These policies usually limit annual mileage, require locked garage storage and a separate vehicle for daily driving, and often cover spare parts and restoration in progress. Track days and timed events are typically excluded unless specifically endorsed.
What about motorcycles, RVs, snowmobiles and ATVs?
Motorcycles, RVs, snowmobiles and ATVs each need their own policy that includes liability, physical damage and medical coverage suited to how they are used. RV policies can add full-timer coverage, vacation liability at campsites and personal effects inside the coach. Every one of these vehicles must also be listed on your umbrella, because an unlisted toy is one of the most common reasons an umbrella declines a claim.
How do toys affect my umbrella policy?
Umbrella policies require each boat and recreational vehicle to carry its own minimum liability limit and to be disclosed to the umbrella insurer. Many umbrellas exclude watercraft above a certain length or horsepower, and almost all exclude owned aircraft. Buying a new boat, jet ski or side-by-side should trigger an umbrella update the same week.
Toy-specific pages: Boat insurance · Motorcycle insurance · RV insurance · Umbrella
This page is educational and does not alter any policy. Coverage is determined by the actual policy forms, endorsements and declarations issued by the insurer.