Watercraft & Boat
Hull Coverage
Hull coverage insures the physical boat — the vessel itself — against damage from accidents, storms, fire, and other covered perils. For significant boat investments, agreed value coverage eliminates depreciation disputes at claim time and ensures you recover the full insured value when a total loss occurs.
Watercraft & Boat
What You Need to Know About Hull Coverage
Agreed Value vs. Actual Cash Value
Agreed value coverage pays the policy's face amount for a total loss — no depreciation, no dispute. Actual cash value coverage pays the depreciated value of the boat at the time of loss. For vessels that hold their value, agreed value is strongly preferred.
On-Water and Off-Water Coverage
Hull coverage applies while the boat is in the water, being towed on a trailer, and in storage. Many watercraft losses occur during storage or transport — ensuring coverage applies in all three contexts is part of proper hull coverage structure.
Navigational Limits
Most watercraft policies specify a navigational territory — commonly inland waters of ND and MN, or specific lakes. Operating outside the covered territory can void coverage. If you trailer your boat to other states or different bodies of water, confirm the policy's navigational scope.