Colorado Boat Insurance

Your Complete Guide to Boat Insurance in Colorado

Find the right boat insurance policy for you.

Colorado has some of this country’s most picturesque landscapes, and what could be better than taking them in while out on your boat? Whether you are out on your bass boat in the Blue Mesa Reservoir or enjoying family time on Chatfield Reservoir in your cabin cruiser, owning a boat in this state has many advantages.

Unfortunately, accidents and disasters sometimes happen. You can make sure that a day out on the lake doesn’t end up causing you large financial losses by investing in a boat insurance policy. A local independent insurance agent can help you find the best price for coverage.

What Is Colorado Boat Insurance?

Boat insurance is designed to cover motorized boats and vessels that have sails. If your boat is stolen or damaged, or if you are responsible for an accident out on the water, this insurance can cover the resultant costs.

Although your homeowners insurance or renters insurance policy may be able to offer some protection for your boat, this coverage is typically very limited. Rather than risk facing large financial damage that could have been avoided, you can invest in an affordable boat insurance policy. Independent agents can help.

Is Boat Insurance Required by Law in Colorado?

Unlike auto insurance, boat insurance is not required by law in Colorado. However, there are times when boat insurance may be necessary. If you financed the purchase of your boat, your lender might require you to have boat insurance until your loan is paid off. If you store your boat at a marina, having boat insurance may be a requirement in your marina lease agreement.

Whether or not you are required to have it, boat insurance may be a good idea, especially if your boat is very expensive or if you will be operating it at high speeds. Talk to a local independent insurance agent for help determining whether this coverage is right for you.

How Much Does Boat Insurance Cost in Colorado?

An average boat insurance policy in Colorado is just $256 a year. That is a very low price to pay for the peace of mind that a policy can afford you. Of course, there are factors that can affect your rate and cause it to be higher or lower than this average amount. These include:

  • The type (or types) of boat you are insuring
  • Your boat’s length and engine size
  • Whether passengers will ride on the boat in a commercial capacity
  • Whether towables or similar equipment will be used with the boat
  • Where the boat will be stored (at your home, at a marina, etc.)
  • Your driving record, both on and off the water
  • The amount of  coverage you desire
  • The amount of your deductible

The best way to find out how much a policy will cost is to request customized quotes from a few competing insurance providers. Independent insurance agents make this easy by doing the comparison shopping for you.

Colorado Boating Accident and Cost Statistics

  • There are about 85,000 recreational vessels registered in Colorado.
  • Approximately 30 boating accidents occur in this state each year.
  • The average boating accident in Colorado results in $4,103 in damage.
  • The most common cause of accidents in CO is fuel-related fires and explosions.

What Does Colorado Boat Insurance Cover?

Boat insurance policies can vary from one provider to the next. Coverage that comes standard with one policy may be optional with another. An independent agent can help you review different policies so you can be sure you are purchasing one that gives you the best value for the coverage you desire. You can expect a typical boat insurance provider to offer some or all of the following types of coverage:

  • Boating liability insurance: If you are at fault for a boating accident that results in third-party injuries or property damage, this can cover the costs for which you are liable. If you must go to court, your liability insurance will cover legal fees, court costs, and damages.
  • Physical damage insurance: This can cover damage to your own boat as well as your boating equipment if they are damaged due to a collision.
  • Comprehensive insurance: This coverage, much like comprehensive auto insurance, covers non-collision-related damage to your vessel, including that caused by fire, heavy winds, theft, and vandalism.
  • Equipment insurance: If you use towables, fishing gear, GPS devices, or other equipment on your vessel, this coverage can help cover those items against theft and damage.
  • Uninsured/Underinsured boater insurance: Because it is not required, many boaters do not carry this type of insurance on their vessels. If an uninsured boater crashes into your vessel, you may be out of luck when it comes to getting the funds to repair your boat or pay for medical bills. This coverage can help you get those funds.
  • Medical payments insurance: This coverage can pay for medical expenses that you and your passengers may incur as a result of a boating accident, regardless of fault.
  • Towing coverage: This coverage works like roadside assistance. If your boat becomes disabled while on the water, this coverage can help you get to shore.
  • Fuel spill/wreckage cleanup: Local ordinances require that you remedy any pollutant spills and remove wrecked vessels from the water. This insurance coverage can provide you with the funds and resources necessary to abide by these local ordinances.

Boat Insurance Discounts in Colorado

Independent insurance agents work for you, not for a particular insurance company. They are interested in finding the best rates for your boat insurance coverage. One way they do this is by looking for potential discounts. You may be able to score big savings by taking advantage of some of the following discounts:

  • Multiple policy discount: If you bundle your boat insurance with other coverage like home or auto insurance.
  • Loyal customer discount: Having long-term standing as a good customer can result in lower insurance rates.
  • Lay-up discount: Available if you only use your boat during the summer months.
  • Boater safety course discount: Courses are only required for boat operators under 16 years old. Completing the course even if it is not required can earn you policy discounts.
  • Security system discount: If your boat is larger or more expensive, you may want a security system to protect the contents you have stored on board.
  • Industry/Professional affiliation discount: It is possible that you can get discounts through certain insurers because of the company you work for or groups or memberships you participate in.

Find the Best Boat Insurance Policy in Colorado

A boat insurance policy that covers all of your risks may save you big money in the long run. Having a professional by your side can help you get the best coverage possible. There are more than 250 independent agents located in the state of Colorado. 

Find an insurance agent near you to learn more about boat insurance and start comparing customized quotes.

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https://www.uscgboating.org/library/accident-statistics/Recreational-Boating-Statistics-2017.pdf

https://cpw.state.co.us/Documents/Boating/BoatingRegulations.pdf

https://www.boat-ed.com/abc/abc_specific_images/pdfs/co_law.pdf