Hello, water sports enthusiasts and concerned boat owners! Kyle Goeman here from Citizens Alliance Agency. As an insurance agent and someone who loves spending time on the water, I want to bring attention to a critical aspect of insurance that often goes unnoticed: watercraft liability for family members.
Recently, a tragic incident involving TV reporter Courtney Godfrey shed light on an important issue in the insurance world. Courtney lost part of her leg in a boating accident and assumed that the boat owner's insurance would cover her medical expenses. However, she was surprised to find out that due to a change in her marital status, she was no longer considered covered under the policy as a family member.
To address such loopholes, in late 2023, Minnesota enacted the Family Protection Act. This legislation aims to ensure that family members are covered under the boat owner's insurance policy, regardless of changes in marital status or other circumstances.
What is Watercraft Liability for Family Members?
Watercraft liability for family members is a type of coverage included in homeowner’s insurance policies or standalone watercraft insurance policies. This coverage protects the boat owner if a family member is involved in an accident while operating the vessel. It typically includes:
Legal Fees: Coverage for legal expenses if a lawsuit is brought against the boat owner or family member due to the accident.
Medical Expenses: Reimbursement for medical bills resulting from injuries sustained in the accident.
Property Damage: Compensation for damage caused to other boats, docks, or property because of the accident.
Having adequate coverage is important because water-related accidents can lead to substantial financial and legal consequences. It's important for boat owners to review their insurance policies to ensure that family members are clearly covered. This not only provides peace of mind but also safeguards against potential liabilities that could arise from unforeseen accidents.
Additional Considerations:
Waivers: Some insurance carriers offer waivers to exclude coverage for certain individuals who will never operate a watercraft or be around lakes. This can help reduce premiums but should be carefully considered based on individual circumstances.
Umbrella Policies: Many umbrella insurance policies include watercraft liability coverage as part of their broader protection. This can provide an extra layer of security in case the liability exceeds the limits of the primary boat owner's policy.
Why Should You Care?
Liability situations can be complex and confusing, especially when it comes to accidents involving family members. Understanding your insurance coverage and ensuring that it adequately protects you and your loved ones is essential. Whether you're an avid boater or simply enjoy the occasional outing on the lake, being informed about your insurance options can make a significant difference in times of need.
Get Informed and Stay Protected:
At Citizens Alliance Agency, we specialize in comprehensive insurance solutions tailored to your specific needs. If you have any questions about watercraft liability, need a policy review, or simply want honest advice about protecting yourself and your family on the water, don't hesitate to reach out. Our team is here to help navigate the intricacies of insurance so you can enjoy your time on the water with confidence.
Contact Us Today:
Give us a call at Citizens Alliance Agency to schedule a thorough insurance review or to discuss your watercraft liability coverage. We're committed to ensuring that you have the right protection when you need it most.
Remember, being prepared today means enjoying worry-free adventures on the water tomorrow. Stay safe and insured!
Kyle Goeman
Insurance Agent & Water Sports Enthusiast
Citizens Alliance Agency
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