Yacht Insurance Claims

Yacht Insurance Claims

Policyholders typically have the power to customize and tailor their yacht insurance policy to their needs and desired level of protection. Medical coverage as well as total loss coverage are additional safeguards available to policyholders. When it comes to yacht insurance, there are many recommendations to be supplemented to your insurance policy. As with most things, the more protection the more peace of mind; as this is one of the biggest financial investments of your lifetime.

The following are some of the most common claims in yacht insurance:

Theft/Partial Theft

Many partial theft insurance claims consist of items removed from the yacht, typically while anchored. Electronics and fishing equipment are among the top most commonly stolen items from water vessels. It is imperative that you mark or engrave as many personal items on your yacht as possible with your vessels hull identification number or driver license. Along with this, make a complete inventory and license numbers of your yacht, equipment and trailer if applicable. Keep a copy of this safe in your home. Additionally, photographs or video footage of your vessel and accompaniments are highly recommended measures to take. Store these in safe keeping alongside your yacht insurance policy in case of emergency.

Another consideration when protecting your watercraft and crew would be the purchase of an alarm system for marine use as well as a smoke alarm if you have an enclosed cabin on your yacht. Theft occurs when the vessel in its entirety is stolen from the owner. This oftentimes happens while anchored or docked. If possible, it is advised that you store your yacht and accompaniments in a secured garage or storage facility. If you have a trailer, a trailer hitch lock is recommended.  In the case of theft or partial theft to your yacht, contact the authorities followed by your insurance provider right away. 


Rain, flooding and sinking typically occur as a result of weather conditions but are also possible from a leak in the watercraft construction. It is important to stay informed on weather updates when navigating the waters and seek cover when necessary. The specifics of this coverage will be dictated under the property damage liability section in your yacht insurance policy.


Another possible hazard that could be encountered while on your yacht is lightning. Although lightning is always accompanied by thunder, lightning can occur several miles from a thunderstorm. Damage caused by lightning is covered in most yacht insurance policies. Summer brings a heavy lightning season, especially for the state of Florida, but lighting can occur year round. Safety measures when enjoying the water are extremely important; right next to the proper coverage in case of emergency.

Towing/Emergency Service/Salvage

Several factors can result in the need for on-water towing or emergency assistance. Collision with other watercraft, motor failure, etc., the instances for which towing/emergency services might be necessary are endless. Towing and emergency services are generally included in a standard yacht insurance policy. In an instance in which the yacht is a total loss and requires salvage services, you will most likely not be covered under the standard insurance policy. Salvage coverage is an extraneous coverage option worth considering.

Striking Submerged Objects/Grounding

This type of claim is normally covered under the comprehensive coverage section in your yacht insurance policy. Navigation equipment can possibly be included under this clause as well if it was failure of this equipment that caused the striking of submerged objects or grounding.

It is recommended to a policyholder that all of these coverage options be highly considered.

In The Event of a Loss:

Just because the waters have been choppy, doesn’t mean your insurance claim cannot go smoothly. As a policyholder, it is important to ensure that if possible, no further damage occurs to your vessel. The more information you can provide your insurance provider with the better. Pictures are always optimal. If your yacht insurance claim involves other people, names, numbers and insurance providers are essential.

If your yacht insurance claim has been denied, delayed or underpaid, please call the Merlin Law Group today for a free consultation.

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