Docks, boathouses, and boat lifts are often the most valuable structures on a lake property after the home itself. A well-built permanent dock can cost $20,000–$60,000. A boathouse with a loft can be worth significantly more. Whether they're covered under your homeowners policy depends on how that policy is written — and many lake property owners are surprised to find out theirs isn't.
What standard homeowners policies typically say
Most standard homeowners policies cover "other structures" at 10% of your dwelling limit. So if your home is insured for $400,000, you have $40,000 in other structures coverage. The problem is that docks and boathouses often fall into a gray area. Some policies specifically exclude structures in or adjacent to water.
What to check on your policy
- Is your dock listed as covered? Look at your policy declarations page. If it's not mentioned, call your agent and ask directly.
- What's the limit? Even if it's covered, is the limit adequate? A 10% other structures sub-limit often isn't enough for a permanent dock and boathouse.
- Is there a water adjacency exclusion? Some policies specifically exclude structures in, over, or adjacent to a body of water.
Boat lifts and personal watercraft
Boat lifts are often treated differently from docks. Personal watercraft (jet skis, wave runners) typically require a separate watercraft policy and aren't covered under a standard homeowners policy at all.
The easy fix
For most lake properties, the right answer is a policy written specifically for waterfront property — one that explicitly covers the dock, boathouse, and waterfront structures at limits that reflect their actual replacement cost. It's usually not significantly more expensive than a standard policy.
We review waterfront structure coverage for every Northwoods property we write. See our Northwoods coverage approach →