What's the difference between "Actual Cash Value" and "Agreed Value" coverage for my boat or personal watercraft?
When insuring your boat, you generally have two main valuation options. "Actual Cash Value" (ACV) coverage pays out the replacement cost of your boat or parts, minus depreciation, meaning the payout will reflect its current market value, not what you originally paid for it. "Agreed Value" coverage, on the other hand, means you and your insurer agree on a specific value for your boat at the start of the policy, and that's the fixed amount you'll receive if it's declared a total loss, regardless of depreciation. For newer or custom vessels, Agreed Value often provides greater peace of mind. We can help you decide which option best fits your boat and budget.
Let's Dive Deeper Into The Answer
From Pathfinder Reservoir to Flaming Gorge, we understand what Mountain West boat owners need. Our local knowledge translates complicated marine insurance into clear, practical protection for your watercraft.
WATERCRAFT EXPERTISE
Understanding the unique insurance needs for boats, jet skis, and personal watercraft used on Wyoming and Colorado waters—from depreciation concerns to seasonal storage considerations.
TRUSTED GUIDANCE
Expert advice that helps you choose the right valuation method for your specific boat and budget—without pressure or confusing insurance industry jargon.
Protect what matters
Insurance built on trust and deep community understanding.
Local Expertise You Can Trust
Instead of being stuck with one company's options, JWR compares rates and coverage across multiple top carriers. One call gets you access to multiple quotes, saving you time and money. Most families save $400+ per year when they switch.
We Shop 20+ Carriers
Insurance is only as good as the claim. JWR doesn't just sell you a policy and disappear. When disaster strikes, the team fights for you, handles the paperwork, and makes sure you're paid fairly and fast. Their claims support is rated 4.9/5 stars for a reason.
We're There When It Matters Most
Insurance is only as good as the claim. JWR doesn't just sell you a policy and disappear. When disaster strikes, the team fights for you, handles the paperwork, and makes sure you're paid fairly and fast. Their claims support is rated 4.9/5 stars for a reason.
Plain English
No-Pressure Service
No jargon. No fine print surprises. JWR explains everything like you're sitting at their kitchen table—because that's how they'd want to be treated. Coverage options are clear, bundles show real dollar savings, and you decide without sales pressure.
YOUR BOAT PROTECTION STARTS HERE
Compare valuation options for your specific watercraft—or talk to a local expert.
REAL ANSWERS. REAL PEOPLE.
Practical boat insurance guidance for Wyoming and Colorado watercraft owners.
ACTUAL CASH VALUE (ACV) COVERAGE EXPLAINED
Actual Cash Value means your boat is insured for its current market value—what you originally paid minus depreciation. If your boat gets totaled, the insurance company calculates what your boat is worth today based on age, condition, and the used boat market. For example, if you bought a boat for $40,000 five years ago and it's now worth $28,000 due to normal wear and depreciation, ACV coverage pays you $28,000 (minus your deductible). This option typically costs less in premiums because the insurer's risk decreases as your boat ages. ACV works well for older boats where replacement value isn't a major concern, but it means you won't get enough to buy an identical new boat if yours is destroyed.
AGREED VALUE COVERAGE EXPLAINED
Agreed Value means you and your insurance company agree on your boat's worth when you buy the policy—and that's exactly what you get if it's totaled, regardless of depreciation. If you agree your boat is worth $40,000 and it gets destroyed three years later, you receive the full $40,000 (minus deductible) even though the market value might have dropped to $32,000. This coverage costs more because the insurer takes on more risk, but it provides certainty and peace of mind, especially for newer boats, custom builds, or classic vessels where finding comparable replacements would be difficult. The agreed value typically gets reassessed annually to ensure it still reflects your boat's actual worth, preventing you from being over-insured or under-protected.
WHICH VALUATION METHOD FITS YOUR BOAT?
For newer boats (less than 5 years old), custom builds, or high-value watercraft, Agreed Value usually makes sense—you're protecting your investment at its full value. For older boats where you've already gotten years of use and depreciation is expected, ACV keeps premiums lower while still covering catastrophic loss. If you financed your boat, check with your lender—many require Agreed Value to ensure the loan is fully protected. We help Wyoming and Colorado boat owners compare both options with real numbers, showing exactly what you'd receive in different loss scenarios and what each approach costs. Most people find the right answer depends on their specific boat, how they use it, and their budget—not a one-size-fits-all rule.
Looking for more FAQs?
If your boat or personal watercraft is damaged or involved in an incident, the first step is always to ensure safety and prevent further damage. Then, report the incident to authorities if necessary and gather all relevant information, including photos and contact details of involved parties or witnesses. Contact JWR Insurance as soon as possible; our team will guide you through filing the claim, help you understand the next steps, and assist in getting your vessel inspected and repaired. Our goal is to make the claims process as smooth and stress-free as possible.
Standard boat and personal watercraft insurance policies generally exclude certain situations. This often includes normal wear and tear, mechanical breakdown due to lack of maintenance, insect or animal damage, or damage from intentional acts. Using your boat for racing or commercial purposes (unless specifically endorsed) is also typically not covered. It's important to read your policy carefully to understand limits and exclusions, a process JWR Insurance is happy to help you with so there are no surprises.
When insuring your boat, you generally have two main valuation options. "Actual Cash Value" (ACV) coverage pays out the replacement cost of your boat or parts, minus depreciation, meaning the payout will reflect its current market value, not what you originally paid for it. "Agreed Value" coverage, on the other hand, means you and your insurer agree on a specific value for your boat at the start of the policy, and that's the fixed amount you'll receive if it's declared a total loss, regardless of depreciation. For newer or custom vessels, Agreed Value often provides greater peace of mind. We can help you decide which option best fits your boat and budget.
While boat and personal watercraft insurance isn't always legally mandated everywhere, it's a crucial investment for peace of mind, especially when enjoying Wyoming or Colorado's vast waterways like Lake Powell or Glendo State Park. Accidents happen, and without insurance, you'd be solely responsible for potentially significant repair costs—which can easily run into thousands of dollars for even minor damage—or liability claims if someone gets injured or property is damaged. Consider it protection against the unexpected, allowing you to focus on fun, not financial worry. Contact JWR to discuss your specific needs and see how affordable this protection can be.
The cost of boat or personal watercraft insurance can vary significantly based on factors like the type and value of your vessel, its primary usage (fishing, recreation, etc.), and where you operate it—such as the high winds on Flaming Gorge or the bustling waters of Horsetooth Reservoir. A newer, high-performance boat will cost more to insure than an older fishing boat. For an accurate quote tailored to your specific marine adventures, contact JWR Insurance; we can help you navigate the options and costs.
Boat and personal watercraft insurance typically covers a wide range of perils, from physical damage to your vessel due to collisions, fire, theft, or vandalism, to liability coverage for injuries or damage you might cause to others or their property. Many policies also include protection for medical payments for injuries to you or your passengers, and even wreckage removal should your boat sink in a local lake. This comprehensive coverage ensures you're protected whether you're on the open water or docked at a marina.