When your boat is parked during the off-season, it might seem unnecessary to continue paying monthly premiums for insurance. After all, why pay for coverage for a boat you’re not actively using? However, there are several important reasons to maintain your policy year-round.
Natural Disasters
San Antonio experiences natural disasters throughout the year. Hurricane season runs until November 1, with storms often making landfall in September. These storms can spawn tornadoes and cause significant damage to cities, including areas where your boat is stored.
Winter may seem safer, but it comes with its own risks. As the Polar Vortex weakens, frigid temperatures can lead to cracked engine blocks. Heavy snow can cause marina roofs to collapse, resulting in significant damage to your vessel. Without proper insurance, you may be left responsible for covering these costs.
Maintaining coverage through a company like Ellis Insurance Agency ensures your boat or watercraft is protected against these unexpected events.
Higher Coverage Costs
Letting your boat insurance policy lapse can lead to higher premiums in the future. Insurance providers often view gaps in coverage as a risk factor, which can lead to higher monthly costs. When you compare the cost of higher premiums to the expense of maintaining your policy during the off-season, it’s often more affordable to keep your coverage active year-round.
Lender Requirements
If you financed your boat, your lender likely requires you to maintain a minimum level of insurance coverage. Allowing your policy to lapse could result in the lender repossessing your boat, causing you to lose the money you’ve already invested in it. Be sure to understand your lender’s requirements before making any changes to your policy.
We understand the desire to reduce expenses during the off-season. Agents at Ellis Insurance Agency can help you explore options to downgrade your boat or watercraft policy to save money while still maintaining essential coverage. Contact us today to learn more! We proudly serve San Antonio, TX, and the surrounding areas.
