If you own a boat in Ontario, you likely have a trailer that connects to your vehicle and allows you to transport your watercraft from your home to your next destination. While your auto insurance is in place to protect your vehicle, most standard coverage options do not extend to your trailer. If they do, they will only extend liability coverage, unless you decide to purchase separate comprehensive coverage. To learn more about trailer insurance protection and whether making an investment into this type of coverage is worth it, stick around.
What is boat trailer insurance?
Boat trailer insurance is a type of coverage that covers physical damage to your trailer while it is attached to your vehicle, unhitched, or stored on your property. Additionally, trailer insurance also includes liability coverage, which protects your interests and finances in the event a third party files a liability claim against you for bodily injuries or damages while your trailer is in transport. Boat owners are highly encouraged to purchase this type of insurance policy to ensure they are covered against hazards and unpredictable accidents.
What does boat insurance cover?
Similar to an auto insurance policy, Ontario boat insurance is a type of insurance policy that protects owners while they are operating their watercraft. A standard boat insurance policy typically includes the following:
Liability insurance
This portion of your boat insurance policy is similar to liability car insurance. If you are involved in an accident while on the water or during transport that harms a third party, your liability coverage will protect you. Should liability claims be filed against you, your liability insurance will cover the cost of medical expenses, legal fees, repairs, replacements, and other costs, up to your policy limits.
Collision coverage
Similar to collision car coverage, the collision coverage portion of your boat insurance will cover the cost of repairs or replacements if you are involved in a boat accident with another watercraft, either on the water, in transport, or while parked.
Comprehensive coverage
This type of comprehensive coverage is similar to comprehensive car coverage. It will cover the cost of repairs required if your boat is damaged due to non-collision events such as theft, vandalism, weather damage, and more. Keep in mind that the covered perils listed in this coverage can vary between providers. So, make sure you fully understand what is and isn't covered, so you are prepared in the event damage occurs.
Is boat insurance or boat trailer insurance mandatory?
No, both boat insurance and trailer insurance are optional insurance in Ontario. That said, like operating a motor vehicle, there are numerous risks that can put your interests and finances at risk. Therefore, while boat or trailer insurance in Ontario is not legally required, to ensure your boating experience remains fun and safe, it is highly recommended that you purchase coverage for your personal watercraft.
Is my boat trailer covered by my car insurance?
No, your car insurance policy will not cover your boat trailer if it is damaged during transport. It may, however, cover you if you were to cause damage or injuries to a third party while the trailer is hitched to your vehicle. That said, as soon as the trailer is detached from your car, it is no longer protected under your auto liability car insurance
Does my home insurance policy cover my boat and boat trailer?
Whether or not your boat or trailer has protection under your home insurance policy will depend on the type of contents coverage you have. Even if your home insurance policies do cover physical damage to your boat, the level of protection you receive may not be comprehensive.
How much does boat insurance cost?
As a boat owner, the amount it will cost you to insure your boat will depend on numerous factors including, the boat insurance policies you choose, your coverage limits, the total value of your boat, where you live, and more. Therefore, we recommend getting quotes from more than one insurance company in Ontario, so you can compare coverage options and costs beforehand.
Get affordable boat insurance with BrokerLink
Renewing car insurance and other types of coverage can be daunting, which is why BrokerLink is here to help make your experience as smooth as possible. Whether you're looking for accident benefits coverage, have questions about accident forgiveness policies, or want to brush up on safe driving tips, we've got your back every step of the way. With access to Canada's top insurance providers and policies, we can help you compare quotes and get the best deal out there.
To work with a broker from BrokerLink, feel free to visit us at one of our offices across Canada. You can also reach us over the phone during business hours. Alternatively, if you're looking for a boat insurance or auto insurance quote, take advantage of our free online quote tool to get a competitive estimate within a couple of minutes!
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FAQs about insurance for boat trailers in Ontario
Do I need insurance on a utility trailer in Ontario?
Insuring a utility trailer in Ontario is not a legal requirement. However, it is highly recommended. To protect your investment and ensure you're covered, opting for utility trailer insurance is a good idea.
Do I need insurance for my travel trailer?
Most standard car insurance policies do not extend to your travel trailer. Therefore, insuring a travel trailer is highly recommended. There are many risks that come with hauling a travel trailer and accidents happen when you least expect them. To ensure you're protected financially, the best thing you can do is ensure you have a comprehensive insurance plan in place at all times.
How long does an accident remain on your insurance coverage?
If you've recently been involved in an accident, you may be wondering how long it affects your auto insurance rates. Generally speaking, it can range between three and six years, depending on the severity and who is found at fault for the collision.
Should I buy an Recreational Vehicle or a trailer?
If you're thinking about buying an RV or a trailer, you may be having some difficulties deciding between the two. The truth is that both have pros and cons. The best thing you can do is weigh your options and do your research on the specific models you're looking at. Additionally, it's also important to consider what your budget is for your new purchase, while also considering your insurance coverage in your budget. Taking this into account, along with what kind of travelling you plan on doing will help you make a financially sound decision moving forward.
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