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Bareboat Charter Insurance: Your Essential Guide to a Worry Free Holiday 2:30pm, Thu 23 May 2024

If there is one question Cumberland Charter Yachts is asked on a daily basis from people booking a bareboat charter, it is, "Do I need to take out insurance?" The answer is a resounding yes. Bareboat charter insurance should be an essential part of your holiday planning. Just because you are travelling domestically does not mean you should be casual about it.

Consider this: if you were travelling overseas, would you take out travel insurance to protect yourself from financial loss should your flight get cancelled and you needed to purchase another flight? If you own a car, compulsory third-party insurance covers you from claims made against you as a result of your negligence. Hiring a bareboat should be no different. For such a small investment compared to the potential financial outlay should something happen, having the correct insurance will put your mind at ease and ensure that everyone has a safe and happy holiday on your bareboat charter.

Personal Travel Insurance

Personal travel insurance covers expenses if you need to cancel your charter for a covered reason. Depending on the policy you've purchased, you would be reimbursed for pre-paid, non-refundable expenses if you need to cancel your trip before you depart due to sickness, injury, or death of you, a family member, or a travelling companion.

It is crucial to understand that personal travel insurance is not the same as vessel insurance. All vessels are individually insured, but personal travel insurance is a way to protect your financial investment in your holiday and should be a part of your holiday preparation. For instance, Top Sail Insurance offers a single-trip policy that will cover you for just one charter holiday. Alternatively, speak to your preferred insurance provider to explore other options.

Hirer's Liability Insurance

Hirer's liability insurance is akin to the compulsory third-party insurance (CTP) you'd have when owning a car. This insurance is designed to protect you from claims made against you by third parties as a result of your negligence in the operation or use of a hired vessel. It provides insurance against your legal liability to pay claims for loss or damage to third-party property or the accidental death, bodily injury, or illness of a third party.

For this policy to respond to claims made against you, you, the hired vessel (the named bareboat), or its tender must be involved in the loss. Oceanic Marine Risks offers bareboat hirer's liability insurance that you can purchase for your bareboat charter. This type of insurance ensures that you are not left financially vulnerable in case of accidents or negligence-related incidents.

Vessel Damage Waiver

In addition to personal travel insurance and hirer's liability insurance, Cumberland Charter Yachts charges a non-refundable compulsory damage waiver to the charterer. This waiver is intended to cover minor loss or damage to the vessel or its inventory. Should any of the items included in your charter be lost or damaged, the damage waiver fee applies to the items to be replaced.

Grounding Bond

Similarly, if there is any structural damage to the vessel, such as running the boat aground, or damage causing the boat to be unseaworthy, the grounding bond is applied to cover repairs up to $2,500. This fee is collected on the day of departure and returned to your account as soon as the vessel's hull has been inspected by a contract diver and cleared of any damage.

Importance of Comprehensive Insurance Coverage

When planning your bareboat holiday, it is best to take out all necessary insurance to cover you and your loved ones for peace of mind. Bareboat charter insurance encompasses various types of coverage, each addressing different aspects of potential risks associated with your charter holiday.

Personal Travel Insurance:

Protects your financial investment in case you need to cancel your trip for a covered reason, such as sickness, injury, or death.

Hirer's Liability Insurance:

Provides coverage against legal claims made by third parties due to your negligence in operating the hired vessel.

Vessel Damage Waiver:

Covers minor loss or damage to the vessel or its inventory, ensuring you are not burdened with unexpected repair costs.

Grounding Bond

Covers you for excessive damage caused to the boat that will cost more than the grounding bond.

Bareboat charter insurance is not just an optional extra; it is a crucial part of ensuring a smooth and enjoyable holiday experience. By investing in comprehensive insurance coverage, you protect yourself from potential financial losses and gain the peace of mind needed to fully enjoy your time on the water. Whether it is personal travel insurance to cover trip cancellations, hirer's liability insurance to protect against third-party claims, a vessel damage waiver to cover minor damages or a grounding bond, each type of insurance plays a vital role in safeguarding your charter holiday.

Before setting sail, make sure you have the right bareboat charter insurance in place. Consult with insurance providers like Top Sail Insurance for personal travel insurance and Oceanic Marine Risks for hirer's liability insurance. With the proper insurance coverage, you can focus on creating unforgettable memories on your bareboat charter, knowing that you are well-protected against unforeseen events.

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Cumberland Charter Yachts is an award-winning company providing exceptional holiday experiences, leaving customers with a lifetime of memories that exceed all expectations.

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