In case of loss, no depreciation is taken. Virtually all new vessels carry insurance while many older boats do not. Insurance options are almost unlimited. Certain boats are uninsurable as are certain blue water passages or certain destinations. In the end, where the purchaser obtains free title to a yacht, it will be his call to determine what type of insurance, if any, is appropriate.
Most insurance companies require a survey .
A survey is also a good way to locate potential problems. Not all surveyors are alike, however. Check the references of the marine surveyor, such as accreditation by SAMS or other organizations. One thing to keep in mind is that accreditation by a surveyors' organization does not provide any guarantees. In the event of mistakes by a surveyor which lead to the purchase of a defective vessel, the only real comfort will be an error and omissions policy covering the surveyor.