Last Updated: May 23, 2024, 12:55 pm by TRUiC Team

Boat Winterization Business Insurance

Getting insurance for your boat winterization service is essential.

Boat winterization services need to be protected against claims of things like property damage, negligence, and breach of contract.

For example, an employee could damage a customer’s boat while winterizing it, or a customer could claim that you improperly winterized their boat. 

We’ll help you find the most personalized and affordable coverage for your unique business.

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Recommended: Next Insurance is dedicated to matching small businesses with the right policy at the best price.

Best Insurance for a Boat Winterization Business

General liability insurance is — generally speaking — one of the most important insurance policies for boat winterization services. 

Some of the risks general liability insurance covers are:

  • Bodily injury
  • Property damage
  • Medical payments
  • Legal defense and judgment
  • Personal and advertising injury

In addition to general liability insurance, there are numerous supplementary policies that could be beneficial to your boat winterization service. Some to consider include: 

  • Professional liability insurance
  • Commercial property insurance
  • Workers’ compensation insurance
  • Commercial umbrella insurance

There are typically two options available to you when shopping for your boat winterization service’s business insurance:

  • Traditional brick-and-mortar insurers: “Traditional insurers” refers to those with a physical storefront (which also commonly employ an insurance agent), such as The Hartford or CNA.
  • Online insurers: Online insurers have comparatively low operating costs (thanks to their digital nature) and take advantage of AI to provide customers with highly tailored insurance quickly and simply.

Let's Find the Coverage You Need

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Cost of General Liability Insurance

On average, boat winterization businesses in America spend between $400 - $1,100 per year for $1 million in general liability coverage.

Compare the average cost of general liability insurance for a boat winterization business to other professional industries using the graph below.

Several factors will determine the price of your policy. These include your:

  • Location
  • Deductible
  • Number of employees
  • Per-occurrence limit
  • General aggregate limit

You may be able to acquire general liability insurance at a discounted rate by purchasing it as part of a business owner’s policy (BOP) rather than as a standalone policy.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

Graph showing average price of general liability insurance prices per industry

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Find the Best Rate

Discover the best coverage at the lowest rate in our cheapest business insurance review.

Common Situations That General Liability Insurance May Cover for a Boat Winterization Business

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Example 1: An employee accidentally knocks a client over as he visits your business. The client breaks an arm in the fall and demands you pay for his medical treatment. General liability insurance would cover the injured client’s medical bills.

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Example 2: While moving supplies around your facility, an employee trips, loses control of the dolly, and slams it into a client’s luxury car. General liability insurance would cover the client’s vehicle repair costs.

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Example 3: As you winterize a client’s boat, she trips over a box of cleaning supplies, hits her head on the pavement, and sues your business. General liability insurance would pay for your legal defense and any required settlement.

Other Types of Coverage Boat Winterization Businesses Need

While general liability is the most important type of insurance to have, there are several other forms of coverage you should be aware of. Below are some of the most common types of coverage:

Professional Liability Insurance

While you strive to winterize your client’s boats to the best of your ability, mistakes can happen. If one of your clients sues your business, claiming negligence due to errors, professional liability insurance would cover your legal fees and any required settlement.

Commercial Property Insurance

You made a major investment in the supplies and equipment you need to winterize your clients’ boats. In the event of a fire, theft, or natural disaster, commercial property insurance would cover the cost of repairing or replacing your business-related property. This includes structural damage to your facility as well as the business equipment and supplies you store there.

Workers’ Compensation Insurance

Most states require businesses to carry workers’ compensation insurance for their part-time and full-time employees. This coverage protects your employees if they become injured at work or fall ill after a work-related accident. It not only covers an employee’s medical bills and lost wages if they need time to recover, but also any disability or death benefits stemming from a work-related accident.

Commercial Umbrella Insurance

While your general liability insurance policy covers most claims, some accidents or lawsuits may be so catastrophic that they threaten to exhaust the limits of your primary coverage. Commercial umbrella insurance protects you from paying out-of-pocket for any legal fees and awarded damages that exceed your primary policy.

Additional Steps To Protect Your Business

Although it’s easy (and essential) to invest in business insurance, it shouldn’t be your only defense.

Here are several things you can do to better protect your boat winterization business:

  • Use legally robust contracts and other business documents. (We offer free templates for some of the most common legal forms.)
  • Set up an LLC or corporation to protect your personal assets. (Visit our step-by-step guides to learn how to form an LLC or corporation in your state.)
  • Stay up to date with business licensing.
  • Maintain your corporate veil.

Boat Winterization Business Insurance FAQ

Yes, absolutely. You will need to first get a quote from an online business insurance provider like Next Insurance. Next allows you to then purchase a policy immediately and your coverage will be active within 48 hours.

A typical business owner’s policy includes general liability, business interruption, and commercial property insurance. However, BOPs are often customizable, so your agent may recommend adding professional liability, commercial auto, or other types of coverage to your package depending on your company’s needs.

"Business insurance" is a generic term used to describe many different types of coverage a business may need. General liability insurance, on the other hand, is a specific type of coverage that business owners need to protect their assets.

In many cases, certain types of insurance (such as workers’ compensation and commercial auto insurance) are legally required for your business to operate legitimately.

However, even outside of instances where insurance is legally required, it is still highly recommended as it is what protects your business from being completely exposed to unforeseeable risks.

Not necessarily. Certain exceptions may be written directly into your boat winterization business insurance policy, and some perils may be entirely uninsurable.

Yes, an LLC is meant to create a legal barrier between your business and your personal assets and credit. If you haven’t formed an LLC yet, use our Form an LLC guide to get started.

An LLC doesn’t protect your business assets from lawsuits and liability– that’s where business insurance comes in. Business insurance helps protect your business from liability and risk.