Here are the 6 things all agents should know about insuring superyachts

Most of us will never have to worry about insuring a mega or superyacht, those sea-going crafts ranging in price from $50 million to well over $100 million with hulls measuring anywhere from 80 to several hundred feet long. But for those fortunate enough to own such a vessel, the insurance risks are very real and very unique.

According to Damon Hostetter, senior vice president at ACE Recreational Marine (part of ACE Private Risk Services), the difference between a yacht and a “super” or “mega” yacht centers around the size and value of the vessel. Luxury yachts are usually longer than 78 feet and have a hull value over $5 million. A mega or super yacht generally runs a minimum of 148 feet (about half a football field and that can be considered “small” as mega yachts go) and are valued at $50 million and higher. For example the Octopus, which was built for multi-billionaire Paul Allen, is 414 feet long (almost one-and-a-half football fields) and cost $200 million to build.