When you buy a dinghy, as well as the initial outlay, there are also external items that are essential to put into any costing figures that you have calculated. These include maintenance, mooring and Insurance. A dinghy is by its very nature something that will move around quite a bit during its lifetime, but unlike a car, there is no legal requirement to take an insurance policy out. It's a matter of common sense, and the level of cover that you acquire is down to the owner. Dinghy insurance is different to other types of boat insurance and even cover for dinghies varies in term of premium payments. Where the dinghy is moored, whether it is just used for sailing or competition will make a difference as will cover vary between companies. That's why it is always a good idea to check with an expert before committing to purchasing a policy.
It's all very well to try to save money, and a company offering cut-price insurance may seem like it is offering a great deal. However, this could be a false economy. The policy could cost you a lot more in the long term if a claim is made on it, so it is vital that what is on offer should be checked before putting pen to paper.
An initial check around with friends who have dinghies will give you a general idea of what companies to try and who to avoid. It is not necessary to go for a company that specialises in boats, but it is critical to use one that can offer what your individual boating needs are.
Everyone who owns a dinghy will have different requirements, but basically, everyone's policy should include Third Party Liability. This will cover the owner against damaging another boat or injuring a third party. The policy will have an excess on it which is the amount of money that the person taking out the cover will have to pay before the insurance policy pays out. If for example this is set at £200, and the claim against is £1000, the policyholder pays the first £200 and the insurance company £800.
In many policies, the dinghy is covered for damage due to racing. This will normally be for an additional premium so if you don't race you may want it removed. Like a regular house policy damage to equipment can be on a new-for-old basis, and it is possible to take out a Fully Comprehensive Cover that will give cover for fire and vandalism, damage and theft.
Unlike a car or ship, most insurance policies for dinghies can include cover for trolley and trailers for an additional payment. It is crucial to ask specific questions to your insurer when taking out a contract, about what is and isn't covered.