Yacht insurance has become a common obligation for many luxury yacht owners. There are several factors and conditions that make yacht insurance a necessary obligation for them. First of all, a yacht is an expensive asset and the average cost of a luxury yacht under 30 feet is around $60,000. Secondly taking a yacht into the ocean is always been risky not only for the passengers on board but for the other people commuting on the water.

A yacht insurance policy not only provides a good coverage to the yacht and its passengers on broad, but it also provides protection to the other travellers on the water. For instance, people who are not the part of a yacht, but are involved in a yacht accident are also eligible to get the compensation. The yacht accidents and boat accidents are pretty common these days. And when we talk about the yacht accidents these accidents not only caused by natural perils like storms, or typhoons but because of some mechanical failures like fire or a collision with another yacht, boat or a ship on the water. It’s better to have a yacht insurance policy before you take your yacht to the waters.