Do You Need Boat Insurance In Ontario?

Catching a sunburn on the open water is a painful pleasure, which many of us are looking forward to after a winter of being cooped up indoors.

It’s no surprise that with the uncertainty of alternative travel, this season is expected to bring forth a new wave of pleasurecraft owners.

While it’s fantastic that so many Ontario residents will be able to reconnect with friends and family on the water, the influx of first-time boat owners leads to many people wondering, “Is their new vessel properly insured?”

Here are some questions that many boat owners will be asking:

• Is it mandatory to have insurance on a boat in Ontario?
• Does my homeowner insurance cover boats?
• In the event of an accident, what kind of boat damage is covered by insurance?

Is boat insurance mandatory in Ontario?

The short answer is ‘no’. Whether you are signing the paperwork at the dealership, or you are stopped on the water by law enforcement, there is no legal need to prove you have insurance for your boat.

However, while boat insurance is not mandatory, it is always worthwhile to consider adding a policy to protect both your investment and your lifestyle. Much like a life jacket, boat insurance is a pain until you need it — and you should make sure you have proper liability coverage to keep you from paying out of pocket.

Does my homeowner insurance cover my boat?

Most standard homeowner insurance policies include boat insurance. The liability of your boat will likely be covered on your existing policy, granted you inform your broker. While it is possible to add your boat to an existing homeowner policy, there are exceptions based on factors such as value, horsepower, speed, type of boat, among others.

What kind of boat damage is covered by insurance?

With all the enjoyment that comes from owning a boat, there are also mishaps that can dampen your fun. Whether rodents like mice or raccoons tear up your new interior, or you are in need of an emergency tow, we recommend adding a separate policy.

Tip: Not every insurer offers specific coverage for vermin, so be sure to check with your broker. 

The Ostic Group provides uniquely designed boat insurance that will keep you bobbing along worry-free this summer. A separate policy with us includes:

• Liability coverage of up to $2 million
• Emergency towing up to $5,000
• Personal effects up to $5,000
• Vermin coverage
• Pollution liability coverage
• Resulting damage coverage
• No theft requirements — no chains, locks, or secured buildings
• Guaranteed replacement cost (GRC)
  • Available for 3 years on current boats, depreciation not considered

While it is not mandatory to have boat insurance in Ontario, your boat is an investment and something your whole family looks forward to enjoying together. Knowing what you are covered for in the event of an accident is important, and it’s always best to consult a trusted professional before making a decision.

At Ostic Insurance Brokers, we are here to ensure that you find a solution to keep you out on the water!