A watercraft endorsement is a rider to a homeowner's insurance or liability policy that covers boats that the insured owns or uses. The insured must pay a premium to add this coverage to their policy. It may cover damages incurred while boating, damages when the boat is docked, medical fees due to a boating accident, as well as liability protection.
Most homeowners' policies offer very little coverage for boats. They typically exclude any damages that occur when out boating, but may offer a small amount of coverage in case a boat gets damaged at the insured's residence due to a hazard like fire; however, the coverage amounts are not usually enough to replace most boats. A watercraft endorsement fills this coverage gap.
Owners can also opt for a separate boat insurance policy, rather than adding a watercraft endorsement to their homeowners' policy.
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