Insist on agreed value if the boat is older
Agreed value pays the sum insured on a total loss. Market value invites a debate about depreciation at the worst possible moment, and well-maintained older boats lose that debate most often.
Jack & Anchor Insurance
Marine insurance, quoted by specialists
From a first 26-footer on the Solent to a 60ft cruising cat heading south, we place your cover with underwriters who understand boats — and read the small print so you do not have to.
- Agreed-value hull and machinery cover
- UK, Channel, Baltic and Mediterranean cruising ranges
- No obligation — compare before you commit
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What boat insurance actually covers in the UK
Written by Sophie Bennett, Marine Insurance & Ownership EditorLast updated
A UK marine policy is normally built from two halves. The hull and machinery section insures the boat, her engine, spars, sails, tender, outboard and gear against loss or damage — grounding, storm, fire, theft, collision, and accidental damage while afloat, ashore and in transit. The liability section covers what you do to other people and their property: contact damage on a pontoon, a dragged anchor across someone's chain, wreck removal and pollution, and injury to crew or third parties. It is the liability section that marinas, harbour authorities and inland navigation licences insist on, and it is usually the cheapest part of the premium.
Between those two halves sit the decisions that determine whether a claim is comfortable or contested. Agreed value versus market value at the time of loss. New-for-old on outboards, electronics and safety gear, or a depreciation scale. The navigational limits — UK coastal, Channel, Biscay, Baltic, Mediterranean — plus a lay-up period and any single-handed or offshore passage restriction. Then the conditions: a satisfactory out-of-water survey on older hulls, rigging replaced or inspected at ten to fifteen years, specified mooring and winter-storage arrangements, and a security requirement on trailered boats and outboards.
None of that is exotic — it is standard marine wording. But it is why two quotes for the same boat can differ by hundreds of pounds and by an entire outcome after a bad night in a gale.
How to choose a boat insurance policy
Set the liability limit by where you berth
£3m is the common baseline, but many UK marinas and European waterway authorities now ask for £5m. Raising the limit is usually inexpensive; discovering it is too low is not.
Match navigational limits to your season plan
Declare the furthest you realistically intend to go, including a Channel crossing or a delivery leg. Cover outside the stated limits can be void exactly when you are most exposed.
Read the survey and rigging conditions before you buy
Older hulls often need a survey every five years, and yachts a rig report or replacement wire at a set age. Both are conditions, not suggestions, and both cost money you should budget at quote stage.
Check the mooring, lay-up and storage wording
Policies specify how and where the boat is kept over winter, including ashore in a cradle, ground tackle standards on swinging moorings, and security for trailered boats and outboards.
Ask who handles claims, and how fast
Find out whether claims are dealt with in-house, which surveyors they use and what a typical settlement time looks like. That, not the premium, is the part of the policy you eventually use.
UK-specific factors that move your premium
Underwriters rate British boats largely on where they sit and what happens to them in winter. A gated, staffed marina berth prices better than a swinging mooring or an unattended drying berth; ashore in a chocked cradle on hardstanding prices better than afloat through a run of autumn gales. East Coast, Thames Estuary and Bristol Channel moorings draw extra questions because of tidal range, grounding and storm surge, while Solent and South Coast berths bring congestion and contact-damage exposure instead.
The claims calendar is just as predictable. UK autumn and winter depressions produce the bulk of chafe, mooring, pontoon-contact and water-ingress losses, and the boats that come through them are the ones that were checked between blows. Outboard and tender theft peaks over the winter in quieter yards. If you plan to cruise beyond home waters, expect the Channel, Biscay, Baltic and Mediterranean to each sit in a different rating band, with their own conditions attached.
Frequently asked
Do I legally need boat insurance in the UK?
Not by statute for private leisure use at sea, but in practice yes: virtually every marina, harbour authority and inland waterway licence — including the Canal & River Trust — requires third-party liability cover as a condition of the berth or licence.
How much should I expect to pay?
As a broad guide, around 0.75% to 1.5% of the insured value a year for a UK-based leisure boat in good condition — roughly £500 to £1,000 on a £60,000 yacht. Age, hull material, cruising range, claims history, berth and winter storage all move it.
What is the difference between agreed value and market value?
Agreed value fixes the total-loss payout at the sum insured when the policy is written. Market value pays what the boat was worth at the time of loss, which can be materially less and is decided after the event.
Will I need a survey?
Commonly once the boat is over about 25 to 30 years old, then every five years. Many underwriters will accept a recent pre-purchase survey, so ask before paying for a second one.
Does my policy cover the boat ashore and on the road?
Ashore in the stated yard, usually yes, subject to the lay-up and storage conditions. Road transit is often limited or excluded, so check the wording and rely on the haulier's goods-in-transit cover when the boat moves by lorry.
What we cover
Policies built around how you sail
Specialist marine cover rather than one-size-fits-all leisure insurance.
Yacht & motorboat cover
Agreed-value hull cover for sail, motor and multihull craft, including tenders, outboards and personal effects.
Third-party liability
Liability limits from £3m upwards, as required by UK marinas, harbour authorities and European cruising permits.
Racing, charter & liveaboard
Specialist extensions for regatta racing, skippered charter use, permanent liveaboard and extended cruising ranges.
How it works
Three steps to cover
01
Tell us about the boat
Vessel details, insured value, berth and cruising area.
02
We compare the market
Quotes gathered from specialist marine underwriters, not generic brokers.
03
Cover in place
Documents issued electronically with mid-term changes handled for you.
Not sure what cover your boat needs? Read our boat insurance guides or request your insurance quote.
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