The Essential Guide to Boat Dealership Insurance

Do you have the best insurance for your boat dealership in Florida? Boat dealership insurance helps financially protect you against certain losses, including damage to a customer’s personal property, injuries to customers and visitors, your building and inventory and your marine operations. Boat dealership insurance can be purchased by businesses that sell boats, boat repair shops and boat storage facilities.

Boat Dealership Insurance Coverages

Boat dealership insurance contains many different types of coverages. This is because we understand the types of risks that boat dealers face when conducting business.

General Liability Coverage

Getting the right type of boat dealership insurance for your marine business starts with liability coverage. The liability part of your boat dealership insurance covers certain risks that you may face, including:

  • Watercraft Liability – Protects you against financial loss if someone is injured on your boat or another boat, if you’re in an accident. It also helps pay for damage to other boats, docks and pilings.
  • Pollution Coverage – Covers you if your boat leaks or creates a spill. This coverage can help clean up the pollutant.
  • Employee Benefits Liability – Protects you if there are errors or omissions in your benefits policies or packages.
  • Employment Practices Liability – Helps financially protect you if you’re accused of faulty employment practices, including sexual harassment, wrongful termination, discrimination, false imprisonment and breach of contract, among other items.

Property Damage

Helps protect you if your building is damaged by a covered event. This may include fires and natural disasters. This coverage also helps pay for any damage to customer boats and equipment.

Inventory Coverage

The inventory coverage portion of your boat dealership insurance financially protects your inventory and any boats that you may be storing for clients or customers. This includes your main location and any storage buildings you may be using.

Marine Garage Liability

This is a specific type of liability coverage that covers the boat dealership against claims of injury or property damage that arises from the premises, types of work performed and/or the products sold.

Errors and Omissions

There are two types of errors and omissions coverage. The first is title errors and omissions. If you make an error on a title that makes it difficult to determine ownership of the vessel, this insurance pays to have the error corrected so that the sale of the watercraft can be completed.

The second type of errors and omissions coverage has to do with the engine of the vessel. If the purchaser claims that there is a problem with the engine that was not disclosed, this portion of your coverage helps pay any costs to repair or replace the faulty engine.

False Pretenses Coverage

False pretenses coverage helps financially protect you if someone tries to sell you a watercraft with a faulty title or ownership documentation.

Truth-In Lending Coverage

If your boat dealership offers financing, you should have truth-in lending coverage. Financial institutions and any business that offers financing must be in compliance with the Truth in Lending Act. If you neglect to put something in your information through an omission, error or negligence, this insurance helps pay for any damages.


If you regularly have watercraft that are at a different location for repairs or take the watercraft off location for demonstrations, this insurance helps pay for any injuries or property damage that occurs off-site while demonstrating the boat or while the boat is being repaired.

Workers Compensation

If you have employees at your business, this coverage helps pay for any injuries or illnesses they acquire due to their positions within the company.

Umbrella Coverage

Boat dealerships can purchase an added type of coverage called Bumbershoot Liability, which is a type of umbrella policy that’s been designed for boat dealerships. This is a good policy to have if you feel like your initial liability coverage wouldn’t be able to fully protect you.

How to Get the Best Boat Dealership Coverage

If you’re searching for the best boat dealership coverage for your business, you should start by taking an assessment of your risks. Next, think about the types of coverage that would benefit your business. Lastly, speak with an insurance agent, like those at Fearnow in Florida to learn more about the types of coverage and to get a quote.

Boat Dealership Coverage with Fearnow in Florida

Our agents at Fearnow in Florida can help you choose the right types of coverage for your boat dealership. Our boat dealership insurance can be written to include general liability, marine garage liability, property damage liability, inventory coverage, errors and omissions, false pretenses, truth-in lending, indemnity and workers compensation. We also offer commercial boat, commercial vehicle and commercial umbrella insurance.

To learn more about commercial boat insurance and to get a quote, give us a call at 813-689-8878.