Sometimes clients don’t understand that a type of insurance is meant for their business. One big example in the marine industry is boat rental insurance. It’s obvious to most companies that rent out vessels like fishing boats, speed boats, fishing boats, canoes, and kayaks that they are boat rental services and need some form of rental liability that is specifically tailored to watercraft. What’s less obvious is that other watercraft is also usually covered by boat insurance. That means rental companies that offer jet skis, water bikes, and other personal watercraft that are not commonly thought of as boats probably need the same coverage as those renting out jet boats, just not necessarily with all the same coverage choices.
Rental Equipment Liability vs. Boat Rental Liability
What about existing equipment policies for rental companies? Can they be used to cover personal watercraft instead of boat rental coverage options? Often, the answer is no. Many jurisdictions place additional insurance requirements on boats and watercraft that rental equipment liability policies, in general, do not cover. To make sure you have insurance that truly reflects the liabilities your business needs to manage, you have to work with people who provide the insurance that most specifically reflects the work you do. For watercraft of all kinds, that generally means boat rental insurance.