Yacht Charter Insurance

Every yacht charter contract includes insurance — but not every type of cover is included by default. Understanding the difference protects both your holiday and your security deposit.

Below is a clear overview of the insurance layers that apply to a typical bareboat or skippered charter in the Mediterranean, Caribbean and worldwide.

1. Hull & Machinery Insurance (included)

The charter company always insures the yacht itself against major damage, sinking, fire and theft. You do not need to arrange this separately.

In case of an incident, your financial exposure is limited to the security deposit — not the full value of the yacht.

2. Security Deposit

The deposit is the maximum amount you can lose in case of damage caused during the charter. Typical ranges:

• Monohull 40–50 ft — €2,000–€4,000
• Catamaran 42–50 ft — €4,000–€6,000

It is blocked on a credit card at check-in and released after a clean check-out.

3. Deposit Waiver / Damage Reduction (optional, recommended)

For an additional fee (usually 5–10% of the charter price), the security deposit can be reduced to zero or to a much smaller amount.

This is the single most cost-effective insurance you can add. It protects you from:

• minor hull or propeller damage,
• torn sails,
• lost or damaged equipment (anchor, fenders, tender),
• grounding incidents without major hull breach.

We strongly recommend this option for first-time charterers and for catamarans.

4. Third-Party Liability (included)

Damage caused to other vessels, marinas or fixed property is covered by the yacht's P&I policy, typically up to several million euros.

5. Personal Travel Insurance (your responsibility)

Charter contracts do not cover you personally. We recommend a private travel policy that includes:

• trip cancellation and interruption,
• medical and evacuation cover at sea,
• baggage and personal belongings,
• weather-related cancellation where available.

Some insurers offer dedicated “yacht charter” travel policies — happy to recommend specialists.

6. Trip Cancellation Insurance

Trip cancellation insurance protects prepaid charter costs, flights and accommodation if you need to cancel your trip due to illness, injury or other covered events.

Because yacht charter payments are often non-refundable after certain deadlines, cancellation insurance can be one of the most valuable protections available.

7. Skipper & Crew Liability

On bareboat charters, the licensed skipper (you or a hired professional) is responsible for the safe operation of the yacht. Professional skippers typically carry professional liability insurance, although coverage may vary by provider and country.

8. Charterer's & Skipper's Liability

Many charterers assume that because the yacht is insured, they are fully protected.

In reality, the skipper may still be personally liable in certain situations involving negligence, navigation errors or damage not covered by standard charter insurance.

Specialised skipper liability policies are available and can provide an additional layer of protection.

How to Avoid Losing Your Deposit

• Do a careful check-in inventory and photograph existing damage.
• Take the deposit waiver — almost always worth it.
• Use a professional skipper if you are unsure of the area.
• Avoid mooring in unfamiliar harbours after dark.
• Report any incident to the base immediately.

Recommended Insurance Providers

The following companies are among the best-known specialist yacht and charter insurance providers in Europe:

• Pantaenius
• Yacht-Pool
• Sealogy
• Schomacker Yacht Insurance

For travel insurance:

• Allianz Travel
• World Nomads

At Max Maris Yachting, we review the insurance terms of every charter contract before you sign and explain exactly what is — and is not — covered.