South Carolina Personal Lines Practice Exam

Which of the following watercraft is NOT covered under a Homeowners policy?

1. Inboard motorboats up to 50 hp

2. Outboard motorboats up to 25 hp

3. Sailing vessels under 26 ft

4. All types of jet skis

The correct answer is: All types of jet skis

The coverage provided by a Homeowners policy typically includes certain types of watercraft, but there are specific limitations and exclusions. Jet skis, also known as personal watercraft (PWC), are generally not covered under standard Homeowners policies due to their higher risk factors and liabilities associated with their use. These vehicles are considered more like motor vehicles than traditional boats, which necessitates different insurance considerations. In contrast, the other options listed—such as inboard motorboats up to 50 horsepower, outboard motorboats up to 25 horsepower, and sailing vessels under 26 feet—are commonly included under a Homeowners policy as long as they fall within the specified limits. These coverages allow homeowners a degree of protection for recreational watercraft that are viewed as lower risk compared to jet skis, which is why they can be covered under certain conditions. Understanding these distinctions is crucial for homeowners to effectively manage their insurance needs and ensure they have the necessary coverage for their specific watercraft while recognizing the exclusions that apply to higher-risk vehicles like jet skis.