Third party marine insurance, also known as Marine Third Party Liability Insurance, is a type of cover designed to protect boat owners from legal and financial liabilities arising from accidents involving their boat. This insurance covers the costs associated with injury to other people, damage to other boats or property, and environmental pollution caused by your boat. It extends to cover liabilities for anyone on board your vessel with your permission, such as guests or unpaid crew. Having third party marine insurance is essential for safeguarding yourself against potentially high compensation claims and is often required by marinas and local authorities.