Yacht Insurance

Why do you need Yacht Insurance?

It’s a fair enough question and whilst it is not a legal requirement on many waters, having appropriate cover does make sound financial sense. Marine mortgage companies for instance insist on compulsory insurance as part of their money lending process. However, there are two stand-out reasons why boat insurance is not a ‘would like to have’ but a ‘must have’:


1. Protect your investment

Firstly you have to protect your capital investment against loss or damage which ultimately could result in a large and costly repair bill if the worst were to happen!


2. Protect against Third party

Secondly having adequate boat insurance can help to protect you against any third party liability for injury or damage caused by you or your vessel.

Yacht Insurance image with sailboat

What can influence the premium payable?

From a small yacht to a large super-yacht or a fast and furious Jet Ski, each vessel will attract a different level of risk, so just like car insurance – boats are usually categorised according to their vessel type.

It goes without saying that a ‘Sunseeker’ with powerful engines costing several hundred thousand pounds will be far more expensive to insure than a smaller, much less powerful craft.

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Type of Vessel

A yacht will have a different risk assessment than a dinghy or a jet ski, so insurers will factor in the type of the vessel and any potential repair bills before calculating the premium.!



In general, the actual size of the boat isn’t as important as its value, how easily it could be stolen and the potential for damage.



The experience of the owner / users, the type of use i.e. whether it is used privately, as a charter or racing vessel and of course any previous claims experiences are all taken into consideration when calculating the premium.

How Compare Yacht Insurance can help

At CompareYachtInsurance.com, we know that finding the best insurance for your yacht or motorboat can be a tricky business – so we’re here to make it easy. We do the hard work for you, gathering the best quotes from the top insurers and delivering them straight to your inbox, for free. To get started right away, all you need to do is fill out our simple form


Get Your Quote

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I’m going to take my yacht out of the water for a prolonged period, should I notify my insurer?

You almost certainly should notify your insurer as the risk will change in their view. You may be entitled to what are called lay-up credits, whereby you are entitled to a reduction in premium to reflect the reduction in risk.

I have sold my yacht, what should I do with my policy?

The moment that you hand over the keys to your yacht in a sale, you no longer have insurable interest. Therefore no insurance policy would be enforceable, as even if the yacht were to catch on fire the next moment, this would be the responsibility of the new owner. You should contact your insurance company as soon as you sell the vessel, and ask them to cancel the policy. Depending on whether or not your in your first few months or first year of your insurance policy, will dictate what sort of insurance premium refund you’ll get – as long as you’ve not made a claim on the policy.

What are all risk policies?

An all risk policy covers your yacht for all types of losses that you may have, except for those that are excluded in the exclusions section. If there is a new type of loss that insurers aren’t aware of, then you are automatically given the benefit of the doubt with the claim being covered.

How do I qualify for discounts on my yacht insurance premium?

Discounts usually come in the form of loyalty benefits or improving the ‘risk’. If you stay with an insurer for multiple years, they should look out for you and entice you with a loyalty discount that is fair for them too. If you are in your first year of insurance or looking to further decrease your premium, then you should ask insurers to reduce your coverage, or present yourself as an improved risk. Let them know about any and all extra qualifications that you have attained, any improvements to your yacht, and anything else that will help insurers regard you and your yacht as a safer risk.


Fifty North Consulting Ltd
Port Hamble
SO31 4NN




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