Question 1

How is the hull value determined?

Accepted Answer

On smaller production boats, market value (NADA / BUC) is the baseline. On larger custom or semi-custom yachts, current replacement cost or a recent survey value drives the agreed-value hull amount. We update hull value at survey and at major refits.

Question 2

Does the yacht policy cover charter?

Accepted Answer

Pleasure-only forms specifically exclude commercial use. Vessels chartered out — even occasionally — need a charter endorsement or a separate commercial marine policy. Misclassifying use is one of the most common ways yacht claims get denied.

Question 3

What about hurricane preparation and named-storm coverage?

Accepted Answer

Most policies include a named-storm deductible (often 2–5% of hull value) and require the owner to take reasonable preparation steps. Some carriers reimburse storm-haul costs as a separate sublimit — a valuable extension for South Florida-based vessels.

Question 4

How do tenders and toys get covered?

Accepted Answer

Tenders, jet skis, paddleboards, and other water toys are typically scheduled under the same yacht policy or written under a watercraft endorsement. Coverage applies away from the mother vessel only when explicitly extended.

Yacht & Watercraft Insurance.