It is essential knowledge for anybody who owns a boat to be familiar with the meaning of the term “documented vessel.” A vessel that has been registered with the United States Coast Guard is referred to as being documented. This indicates that the boat has satisfied several conditions regarding its construction and safety. If you own a documented vessel, it is your responsibility to ensure that it always has the most recent version of any needed safety equipment and to inform the United States Coast Guard if you ever relocate or alter the name of your boat.
Finding out whether or not your boat is considered a documented vessel might assist you in avoiding financial fines and other penalties. Continue reading for more information on what characteristics a documented vessel must have and how to maintain compliance with the regulations. But are you aware of all the perks that come with owning one? The importance of properly documenting your vessel can be broken down into the following categories:
It Proves Your Ownership and Clears Up Any Title Issues
When a boat is sold with a documented vessel registration, the seller retains ownership of the vessel and registers it with the state where they now reside. In this case, the buyer will get an application form to register their yacht with their local state department of natural resources under a fictitious name. All future sales will be conducted using this system, eliminating the need for additional paperwork. When you document your boat, you show your ownership and resolve any title disputes. There is a good chance that if you reside in an entitling state, you are concerned about whether or not your state regards boats as property and hence vulnerable to lien or seizure if you fall behind in property taxes. You may be able to prevent future title troubles if you keep track of any previous issues you’ve experienced. If a title is lost or misplaced, there would be no evidence of ownership according to cornell.edu.
It Protects Your Rights In The Event of a Dispute
When you register your boat with the state, you are establishing your ownership rights to it in the eyes of the law. The procedure may sometimes be complicated, but the results are well worth the trouble. If someone else attempts to take what is rightfully yours, having this documentation on hand will be highly beneficial because it will be admissible as evidence in court. If you are required to provide proof of ownership, a registration card may be just what you need to show those individuals who attempt to contest your claim over what should legally be yours. You may safeguard yourself and your legal rights if a disagreement arises over the ownership of your vessel by maintaining up-to-date ownership documentation and formally documenting the vessel’s serial number.
It Makes It Easier To Sell or Transfer Your Boat
You will have an easier time selling or transferring ownership of your boat if it is a documented vessel: When you take your boat out on the water, you will most likely run across other boaters who will inquire about where you purchased your boat and whether or not you like using it. When people notice your boat docked nearby, it’s not uncommon for them to go up to your cabin and inquire about it before continuing on their way. If someone does inquire about your vessel, and if that person discovers that it isn’t recorded, then that person may not be able to discern if the tale is accurate; and what if that person was considering purchasing a comparable boat to yours? Documentation is essential. They would want evidence that the boat they are buying has been appropriately registered before they would feel comfortable making a purchase decision.
A Documented Vessel Helps You Secure Insurance Coverage
For instance, in the United States, this responsibility lies with the Coast Guard. Insurance companies can utilize this designation as evidence that your boat is safe and well-maintained; hence, it is probable that they will provide you with a reduction in your insurance rate if your boat is documented. Consider how much time and money you will invest into maintaining and updating your vessel throughout its lifespan when you are thinking about what will help you obtain the most excellent coverage at the best price. Even if you have been documenting your vessel for several years, the likelihood that an insurance company would see fit to offer you a cut on your premium increases in direct proportion to the amount of time and money you are ready to spend maintaining it.
Remember to follow our updates if you want to learn more about these vessels. We aim to provide you with all the information you need, simply and easily. You can always contact us at (877) 564-1398 for many other questions about documented vessels, but we are most informed about the currently registered vessels because we document them.