Are Your Recreational Boat Builder Clients Properly Covered for Summer’s End?

As summer closes, recreational boat builders often shift from peak production to repairs, storage preparation, and boat show planning. These changes introduce different exposures that can leave gaps if policies aren’t carefully reviewed. During this transition, recreational boat builder insurance becomes more important, as coverage must keep pace with the risks of off-season operations.

Seasonal Shift: What Changes for Recreational Boat Builders After Summer?

When the high season ends, operations look very different. Inventory patterns change, with fewer deliveries and more unsold boats kept on-site. Repair and refurbishment work rises as builders prepare vessels for resale or winter storage. Trade shows and exhibitions add exposure as vessels and equipment are transported and displayed. 

Labor needs also fluctuate, often bringing in temporary workers or contractors. In coastal areas, fall hurricanes heighten risks of flooding or storm damage.

Key Insurance Areas To Review at Summer’s End

Coverage should be evaluated in light of seasonal changes. Use this checklist to help your clients assess whether they are adequately protected

• Review builder’s risk policies for vessels under construction to confirm values align with current projects.
• Confirm property insurance for inventory and business personal property is up to date, including stored boats, parts, and raw materials.
• Evaluate coverage for mobile equipment, lifts, and tools to ensure essential machinery is protected.
• Check general liability coverage, and consider ship repairers legal liability and marina operators legal liability if servicing or storing third-party vessels.
• Address pollution liability exposures tied to solvents, fuel, paint, or hazardous waste.
• Reassess business income coverage to confirm limits reflect current operating expenses and potential downtime.
• Examine wind, hail, and flood coverage, with close attention to deductibles and exclusions during hurricane season.

Common Coverage Gaps at the End of the Season

Several common issues appear when policies are left unchanged. Inventory values may not reflect newly built or refurbished boats, and temporary or seasonal coverages can lapse if not reviewed.

Valuations may also become outdated if inflation or depreciation is not accounted for. In coastal regions, many builders face the risk of inadequate windstorm or flood coverage right as hurricane season peaks.

Risk-Management Strategies for Agents To Share With Boat Builder Clients

A fall policy review gives agents the opportunity to address equipment purchases, staffing changes, and seasonal expansions. Updated valuations and inventory records are crucial to maintaining accurate coverage.

Builders should also be advised on winterization and storage best practices, with a clear understanding of how policies respond. Boat show participation requires attention to liability and property protections for vessels in transit and on display.

For builders working with modern technology, such as hybrid and electric designs, coverage should be tailored to emerging risks.

Helping Clients Finish the Season Protected

Even after the summer rush ends, recreational boat builders continue to face operational and environmental risks. Reviewing policies now helps ensure that stored vessels, ongoing repairs, and seasonal projects are appropriately protected. 

With careful adjustments, agents can help clients maintain coverage for inventory, liability, and business continuity as they move into fall and prepare for winter. The market’s sustained growth further emphasizes the importance of comprehensive protection for builders throughout the year.

Understanding the seasonal and operational shifts in the boat-building sector takes specialized expertise. Merrimac Marine provides access to markets that can tailor coverage for all marine exposures, from property to liability and beyond. Agents also benefit from dedicated support through policy reviews and risk consultations that adapt coverage to their clients’ changing needs.

Merrimac Marine supports insurance agents in delivering robust recreational boat builder insurance programs that address seasonal exposures and keep clients’ assets fully protected throughout the year. Call us today to discuss how we can help your clients stay protected. 

About Merrimac Marine Insurance

At Merrimac Marine, we are dedicated to providing insurance for the marine industry to protect your clients’ businesses and assets. For more information about our products and programs, contact our specialists today at (800) 681-1998.