Does Yacht Insurance Cover the Tender?

Does Yacht Insurance Cover the Tender? Here’s What You Need to Know

Most standard yacht insurance policies do cover the tender (the small boat used with your yacht), but only if it’s explicitly listed in your policy and meets specific conditions. Coverage depends on how your insurer defines the tender and what type of protection you’ve selected.

Hull Coverage: Is Your Tender Included?

Hull insurance protects your yacht’s physical structure and equipment. For the tender to be covered under hull insurance, it must be listed as part of the insured vessel or included in the policy’s “appurtenances” (附属设备) clause. If your tender is a separate boat (e.g., a dinghy or RIB), it may need its own policy or an endorsement to your existing coverage. Always confirm whether your policy treats the tender as part of the yacht or a standalone asset.

P&I Insurance and Liability Risks

Protection & Indemnity (P&I) insurance covers third-party liabilities, such as collisions or injuries. If your tender causes damage to another boat or injures someone, P&I will typically pay for claims—**but only if the tender’s use is within your policy’s navigation limits and operational terms**. For example, if your P&I policy restricts the tender to “harbor use only,” taking it offshore could void coverage for an accident there.

Agreed Value vs. Actual Cash Value for Tenders

If your tender is totaled, how much you get paid depends on whether it’s valued under agreed value or actual cash value (ACV). With agreed value, you and the insurer set a pre-determined amount (e.g., $20,000) at policy inception. If the tender is destroyed, you receive that full amount. Under ACV, payout is based on the tender’s current depreciated value (e.g., $12,000 after 5 years). Agreed value is often better for high-value or newer tenders.

Deductibles Apply to Tender Claims Too

Most policies apply the same deductible to tender claims as to your yacht. For example, if your deductible is $5,000 and the tender sustains $8,000 in damage, you’ll pay $5,000, and the insurer covers $3,000. Some policies may have a separate, smaller deductible for tenders—check your wording. Also, named-storm deductibles (e.g., 5% of the insured value) might apply if the tender is damaged in a hurricane.

• Review your policy’s “hull coverage” section to confirm the tender is listed.
• Check P&I terms for navigation limits and liability scope related to tender use.
• Know whether your tender is valued under agreed value or ACV.
• Verify if the deductible for the tender matches your yacht’s or is different.
• Ask if the tender requires a separate policy if it’s frequently used independently.

Actionable takeaway: Call your insurer or agent to confirm your tender is