|Understand Your Insurance Risk|
Are You Properly Insured for Your Summer Fun?
The temperature is rising and the sun is shining, but before you put the boat on the lake or get the ATVs out of storage, the National Association of Insurance Commissioners (NAIC) urges you to review your insurance to make sure you are properly protected. Use these tips to review your coverage to make sure you and your family are insured for the increased risks that come with outdoor activities.
A boat insurance policy provides liability coverage if someone is injured on your boat as well as bodily injury inflicted on others and property damage to your boat. These policies also may be suspended during the months your boat is not in use.
There are three types of boat insurance policies:
Check with the company that provides your homeowners insurance to see if they sell boat insurance. You may be eligible for a discount if you have multiple policies (e.g. homeowners, automobile, and boat) with the same provider.
The personal property coverage of your homeowners policy may cover a small boat for $1,500 or less in physical damage. However, coverage for your liability risk is limited. A large boat will be excluded from your homeowners policy for both property and liability coverage.
Personal watercrafts, such as Jet Skis, will likely require a separate policy that may be offered by your homeowners’ insurer, or you may purchase your policy from an insurer that specializes in boat insurance. Talk with your insurance agent or get quotes from other companies to understand your options.
Motorcycles and Scooters
If you carry seasonal coverage on your motorcycle, which allows you to eliminate liability and perhaps collision coverage during the months you don’t ride, make sure your policy is up to date and that you have a current insurance card before hitting the road this summer.
Also, be sure you understand your state’s law and your policy’s requirements regarding wearing a helmet. If you have specific questions, contact your state insurance department.
All-Terrain Vehicles (ATVs)
You should also ask your provider about age restrictions regarding who may operate the ATV, or if the policy covers friends and family, as this could affect the coverage you choose to purchase.
Backyard Fun – Pools and Trampolines
An insurance company may deny coverage or cancel your policy if you do not follow the policy’s safety guidelines or fail to inform the company when you build a pool or purchase a trampoline. Check with your insurance provider for rates, discounts and safety guidelines, such as installing a fence or locked gate.
If fireworks are legal in your area, check with your insurance company or agent to determine that you have the appropriate liability and physical damage coverage for your home in the event of injury or damage to your property from the use of fireworks. You should also ask if there are any safety requirements in your policy. Check with your agent to determine whether you would be covered in the event that someone other than a family member causes damage to your property.
Contact your state insurance department for more information about your insurance needs for summer fun. You can also visit Insure U to learn more about the health, home, life and auto insurance options that best fit your needs.
The National Association of Insurance Commissioners Headquartered in Kansas City, Mo., the National Association of Insurance Commissioners (NAIC) is a voluntary organization of the chief insurance regulatory officials of the 50 states, the District of Columbia and five U.S. territories. The NAIC's overriding objective is to assist state insurance regulators in protecting consumers and helping maintain the financial stability of the insurance industry by offering financial, actuarial, legal, computer, research, market conduct and economic expertise. Formed in 1871, the NAIC is the oldest association of state officials. For more than 135 years, state-based insurance supervision has served the needs of consumers, industry and the business of insurance at-large by ensuring hands-on, frontline protection for consumers, while providing insurers the uniform platforms and coordinated systems they need to compete effectively in an ever-changing marketplace. For more consumer information, visit InsureUonline.org.
To unsubscribe from all NAIC Electronic Services, send a blank e-mail to NAIC Opt Out services.