Watercraft Nonowned Insurance

Definition of 'Watercraft Nonowned Insurance '


A type of financial safeguard that covers marine vessels that are owned by someone other than the policyholder while they are being operated by the policyholder. Watercraft nonowned insurance is a type of property and casualty insurance, meaning that it covers physical property belonging to a person or business. Depending on the specific policy, watercraft nonowned insurance may cover physical damage, legal liability or both.

Investopedia explains 'Watercraft Nonowned Insurance '


For example, if the holder of a watercraft insurance policy borrowed a friend's boat, they would want to make sure their policy covered nonowned watercraft in case they had an accident while operating it. If the basic watercraft insurance policy does not include this coverage, it may be possible to add it via an endorsement or rider.



comments powered by Disqus
Hot Definitions
  1. Direct Consolidation Loan

    A loan that combines two or more federal education loans into a single loan. A Direct Consolidation Loan allows the borrower to make a single monthly payment. The loan is facilitated by the U.S. Department of Education and does not require borrowers to pay an application fee.
  2. Through Fund

    A type of target-date retirement fund whose asset allocation includes higher risk and potentially higher return investments "through" the fund's target date and beyond.
  3. Last In, First Out - LIFO

    An asset-management and valuation method that assumes that assets produced or acquired last are the ones that are used, sold or disposed of first.
  4. Variable Universal Life Insurance - VUL

    A form of cash-value life insurance that offers both a death benefit and an investment feature. The premium amount for variable universal life insurance (VUL) is flexible and may be changed by the consumer as needed, though these changes can result in a change in the coverage amount.
  5. Monetary Policy

    The actions of a central bank, currency board or other regulatory committee that determine the size and rate of growth of the money supply, which in turn affects interest rates. Monetary policy is maintained through actions such as increasing the interest rate, or changing the amount of money banks need to keep in the vault (bank reserves).
  6. Weak Shorts

    Traders or investors who hold a short position in a stock or other financial asset who will close it out at the first indication of price strength. Weak shorts are typically investors with limited financial capacity, which may preclude them from taking on too much risk on a single short position.
Trading Center