Lay-up is the period of time that the vessel is not in use. lay-up is typically for boats in climates in the northern regions, therefore not in use in the winter months. Boat insurers offer discounted premiums for lay- up.
Laid-up vessels can be afloat or ashore. Full coverage is applicable during the lay-up period subject to general conditions. General conditions can include the following ; the vessel is not ready for immediate use, the vessel is not used to live aboard, or the vessel is not navigated. The vessel must be winterized if not ready for immediate use. The use of heat to keep the engine or system from freezing does not deem the vessel as for “not ready for immediate use”. Most carriers will allow 1 night or 3 or 5 consecutive nights that you can stay aboard without the live aboard requirement being in violation.
Most boat insurance carriers do not offer a lay-up for boats less than 27’. Vessels are written with 12 months navigation and the rate is calculated based on the state where the vessel is typically stored. Most boat insurance carries offer lay-up and in addition, a discount on the premium for vessels with a length greater than 26′.