At a Glance

Yacht charter insurance is arranged by the yacht owner and covers the vessel itself, not the charterer. Clients carry their own personal travel and medical cover, since standard charter insurance doesn’t extend to a guest’s belongings, health or trip cancellation. Understanding this split before you sign a charter agreement means fewer surprises once you’re on the water. Book your charter trip with 212 Yachts today.

Does a Yacht Charter Include Insurance?

Most first-time charterers assume that stepping aboard a professionally crewed yacht means every risk is already handled. That’s a reasonable assumption, but it’s not quite how yacht charter insurance works.

The yacht itself is comprehensively insured, but you, your guests and your belongings are a separate matter entirely. While the charter agreement can provide certain benefits under the insurance cover, it doesn’t mean your belongings, medical expenses, cancellation costs, or personal liability are automatically covered.

Knowing where that line sits before you sign a yacht charter contract is one of the more useful pieces of homework a first-time charter guest can do.

Why Charter Insurance Works Differently to Owning a Yacht

When someone buys a yacht outright, they typically arrange a single hull and liability policy that follows the vessel and, to some extent, the owner’s own use of it. Chartering removes that overlap entirely.

On a charter, the insurance in place belongs to the yacht owner and protects their asset against customary risks. It can extend to specified third-party liabilities, crew-related risks and certain water-sports activities. 

As the charterer, you’re a temporary guest of that vessel, not a named party on its policy. As per the MYBA Charter Agreement, you’ll remain liable for losses or damage arising from your own acts or negligence, or those of your guests, and these losses are not recoverable under the owner’s insurance.

This is true whether you’re booking a day charter around Cannes or a week-long Mediterranean itinerary.

What Standard Charter Insurance Typically Covers

A yacht’s own policy is built to protect the owner’s asset and its professional operation. The precise cover varies according to the yacht, insurer, flag, cruising area and charter agreement, but it’s intended to cover customary risks for the vessel and extend to charter use and specified liabilities. 

In practice, that generally means:

• Hull and machinery cover for physical damage to the yacht
• Third-party liability tied to the vessel’s operation
• Crew-related insurance covering specified crew injuries and third-party liabilities arising during employment
• Certain water-sports and personal watercraft liabilities, subject to the terms of the policy and charter agreement

This is what keeps the yacht itself, and the business of chartering it, properly protected. However, the yacht’s insurance should not be treated as a replacement for the personal insurance or yacht charter liability coverage you’ll need as a guest.

What It Does Not Cover and Where Gaps Appear

This is the part that catches people out, as no insurance is included for the charterer as standard. That means your personal belongings, medical costs, trip cancellation and any injury that’s not the result of crew negligence sit outside the yacht’s own policy.

If a guest falls ill mid-charter, for instance, their own medical and travel insurance may be relevant. Likewise, if circumstances force a trip to be cancelled or curtailed, the yacht’s commercial insurance is not a substitute for dedicated cancellation or curtailment cover.

This is precisely why we always recommend that clients arrange their own travel and medical cover well before their luxury yacht charter begins, just as they would for any high-value international trip. For advice on this, call us today.

How the Broker and Owner’s Insurance Interact

As MYBA-accredited brokers, we work with charter yachts, managed by  professional yacht charter companies who assure the yachts carry charter insurance. This is highlighted in the MYBA charter contract you, as a charterer, will sign. Under Clause 16(a) of the MYBA Charter Agreement, the OWNER must maintain appropriate yacht insurance expressly permitting charter activity.

Questions to Ask Before You Sign a Charter Agreement

A few questions are worth raising with your broker before you commit to a yacht:

• Can you confirm the vessel’s insurance is current and appropriate for the itinerary?
• What is included in the Advance Provisioning Allowance versus the net charter fee?
• Who do we contact on board if a guest needs medical attention?
• Check with your travel insurance provider: ‘Are the watersports and activities I plan to use covered by my own insurance’?

Thinking of cruising on a charter yacht anywhere in the world, and around Antibes or Saint Tropez? Asking these questions early means you can get the facts straight before you depart.

Why Working With an Established Broker Reduces Your Risk

Insurance is only one part of the due diligence involved in arranging a luxury yacht charter. An experienced broker can help you understand the charter agreement, explain what’s included in the charter fee and identify areas where you may need additional personal cover.

As proud members of MYBA and ECPY, 212 Yachts operates to the highest international standards of yacht charter service and safety. Many of the finest yachts we work with are not listed publicly at all, and that same insider access is what lets us steer clients toward well-run, properly insured vessels in the first place. Contact us today.

Ready to Charter With Confidence? Call 212 Yachts

Now you’ll likely have a better understanding of what charter insurance covers, what it doesn’t and why guests need their own cover before boarding.

Learning about yacht charter insurance is an important part of the process. The yacht’s commercial insurance provides protection for the vessel, crew and specified liabilities, while your own insurance can help protect you, your belongings and your financial commitment to the trip.

At 212 Yachts, we have access to a broad selection of yachts and experience with MYBA charter agreements. Our brokers can help you understand the practical and contractual details of your charter before you travel.

We’ll help you plan high-end yacht charters, from week-long Mediterranean trips to day rentals. With access to the best yachts worldwide, we can craft bespoke itineraries and experiences to suit guests’ preferences. 

Our dedicated team brings over a decade of industry expertise, ensuring each charter is managed with professionalism. Guests can choose from a wide range of destinations and enquire about their charter requirements. 

Here’s a glimpse of some of the destinations guests can explore with us:  

• Mediterranean
• French Riviera
• Antibes
• Corsica
• Sardinia
• Capri
• Amalfi Coast
• The Caribbean
• and more!

Contact 212 Yachts today to speak with our brokers and let us help you with your yacht-related needs.

Note: Many of our finest yachts available for charter or sale aren’t publicly listed. Our team will present you with options not visible online when you get in touch.

Frequently Asked Questions

Does a yacht charter include insurance for me and my guests?

No. The charter fee covers the net rate for the yacht, the yacht’s commercial insurance and crew liability. VAT, Advance Provisioning Allowance, personal travel insurance and medical insurance are to be arranged separately by each guest.

Is the crew insured while working on board?

Yes, professional crew are covered under the yacht owner’s policy while performing their duties. The exact scope of cover remains subject to the applicable insurance policy and charter agreement.

Should I buy travel insurance for a yacht charter the same way I would for a hotel holiday?

Yes, and arguably more so given the remote itineraries and higher value of the trip. We recommend arranging suitable travel insurance as soon as your charter dates are confirmed. Check that your policy covers medical expenses, emergency evacuation, personal belongings and any activities you plan to undertake.

Who checks that a yacht’s insurance is up to date before I charter it?

Your broker does, as part of the vetting we carry out on every yacht we propose, alongside crew certification and the vessel’s condition.

What happens if something on board is damaged during my charter?

This is addressed in your charter agreement and the yacht’s own cover. The yacht’s insurance may respond to a covered loss, but the charterer can remain responsible for damage or liabilities arising from their own actions or those of their guests where the loss is not recoverable under the owner’s insurance. Any applicable deductible or excess should also be considered. Your broker will walk you through the relevant clauses before you sign.

Does yacht charter insurance cover cancellation?

Not automatically. Cancellation and curtailment insurance are separate from the yacht’s commercial insurance and are not included in the MYBA Charter Agreement. If you are concerned about losing money because of an unforeseen cancellation, ask your broker about the relevant contract terms and consider appropriate cancellation and curtailment cover. However, be warned, such insurance comes at a high premium cost and is, as a result, rarely taken onboard.