Charter Policy Terms and Coverages

Physical Loss and Damage

Provides coverage for accidental, direct physical loss or damage from an external cause, as well as salvage charges, with few exclusions. Coverage applies to the yacht itself and includes sails, machinery and other equipment normally required for the operation and maintenance of the yacht. Hull coverage is “agreed value’ on total losses and replacement cost (with no depreciation) on most partial losses, subject to a deductible.

Liability

Covers the insured’s liability for property damage, bodily injury or death of another person resulting from the ownership or use of the insured yacht. Also covered are legal defense costs, the cost of wreck removal when required by law, and the owner’s liability to any paid crew, including Jones Act coverage. Pollution and contamination coverage is also provided up to the Liability limit or $800,000 whichever is greater. Alcohol-related claims are excluded under this policy, as are any claims arising from swimming, diving and parasailing.

Medical Payments

This coverage pays for reasonable medical expenses resulting from injuries sustained by persons aboard the vessel or while boarding or leaving. A basic $1,000 limit is provided. The coverage limit applies on a “per person” basis.

Uninsured Boater Coverage

Uninsured Boater benefits cover damages resulting from bodily injuries received aboard an insured yacht that its owner is legally entitled to recover from an uninsured owner or operator of another vessel. A coverage amount equal to the Liability limit is included subject to a maximum limit of $2,000,000.

Federal Longshoremen’s and Harbor Workers’ Compensation

Provides coverage (when Liability coverage is purchased) for any liability the insured yacht's owner incurs under the jurisdiction of the Federal Longshoremen's and Harbor Workers' Compensation Act, during the term of the policy.

Personal Property Coverage

Personal property belonging to the owner, family and clients are covered while aboard the covered vessel and while being loaded and unloaded. Fishing equipment is covered while temporarily stored ashore, excluding mysterious disappearance and/or theft. A basic $2,500 limit is included subject to a deductible.

Towing and Assistance

Reimbursement for emergency commercial towing service up to $500, with no deductible.

Vessel Trailer Coverage

Provides coverage for loss or damage to the vessel’s trailer subject to a deductible.

*The information, material and descriptions contained herein are intended to be a summary in nature and only provide a general overview of the types of coverage and concerns boaters should consider when selecting insurance for their boat or yacht.  Any description(s) of insurance coverage herein shall not amend, modify, replace, alter or otherwise change the terms, conditions, limits, provisions, exclusions or endorsements contained in any policy issued by us.  Please consult your policy for precise terms, limits, exclusions and conditions.  The description(s) and material(s) contained herein shall not provide a basis for a legal relationship between us and any potential or existing customer and gives no cause to anyone for claims, demands, assertions or other rights towards us, either on a contractual or a non-contractual basis.  All rights reserved.

The availability of the Charter Policy may vary by state.

What would you like to do next?

• Go back to Yacht Insurance Services.
  

For Customers:

• Locate an ACE Recreational Marine Insurance Agent.
  

For Agents & Brokers:

• Download and print a Charter Insurance Application.
• Contact a Field Office – office directory.