Boats and yachts insurance is a type of insurance policy that reimburses yacht or boat owners for the cost of accidental loss or damage. Yacht insurance policies cover both comprehensive and third-party liability. Yacht insurance policies typically cover the boat, machinery, theft, and damage. One distinctive feature of yacht insurance is that it covers damages that occur at sea, while the yacht is moored, on land, or in transit. It will be paid out in full in the event of a total loss. Furthermore, there is replacement cost coverage for partial losses, though sails, canvas, batteries, outboards, and sometimes outdrives are not covered and must be purchased separately.
The global boats and yachts insurance market is segmented on the basis of type, end user, and region. Based on type, the market is bifurcated into actual cash value and agreed amount value. On the basis of end user, the market is divided into commercial use and personal use. Geographically, the market is analyzed across several regions such as North America, Europe, Asia-Pacific, and Latin America, Middle East & Africa (LAMEA).
Top Impacting Factors
Yacht insurance covers third-party liability and provides personal accident coverage. These factors are driving the growth of the market. However, changes in exposure and stringent claims experience are expected to hamper the growth of the market. Contrarily, the surge in demand for boats and yachts insurance and the adoption of digital platforms in the insurance market can be witnessed as an opportunity for market growth in the coming years.
Yacht Insurance Covers Third Party Liability
Sea waterways are prone to accidents, and many times yachts and boats collide with other boats causing huge damage which costs very high prices. Therefore, boat owners tend to purchase yacht insurance policies to cover the cost of damage to third parties. Therefore, this is a major boosting factor for the growth of the yacht insurance market.
Adoption of Digital Platform in Insurance
More than 80% of insurers are projected to enhance revenue collection by using a digital platform in the market, according to International Business Machines (IBM), an American multinational technology business.
Furthermore, for a big percentage of insurers, the deployment of a digital platform is predicted to enhance revenue growth by 15%. As a result, the adoption of digital platforms is expected to boost the growth of the boats and yachts insurance market share.
Key Benefits of the Report
- This study presents an analytical depiction of the boats and yachts insurance market forecast along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with a detailed analysis of the market share.
- The current market is quantitatively analyzed to highlight the boats and yachts insurance market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed boats and yachts insurance market analysis depending on the present and future competitive intensity of the market.
COVID-19 Scenario Analysis
- Damage concerns have grown in insurance companies as a result of increased natural hazards and decreased manpower as a result of COVID-19. The boatyard businesses are also operating at reduced staff capacity, which has increased the time required for repairs. Due to this, many yachts and boats are idle since there is no business, and therefore, the boats are getting damaged which is attracting claims from boat owners. Therefore, COVID-19 has negatively impacted the yacht and boat insurance market.
Questions Answered in the Boats and Yachts Insurance Market Research Report
- Which are the leading players active in the boats and yachts insurance market?
- What would be the detailed impact of COVID-19 on the boats and yachts insurance market size?
- How the current boats and yachts insurance market trends would influence the industry in the next few years?
- What are the driving factors, restraints, and opportunities in the global market?
- What are the projections for the future that would help in taking further strategic steps?
Boats and Yachts Insurance Market Report Highlights
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