Make Your Boat Warranty Work for You

provide separate warranties for hull integrity and hull blisters.

Additionally, boatbuilders buy components from third-party vendors, like engines, air conditioning units, and electronics, which come with warranties. The b oat’s warranty normally covers them, but only up to the period of the original boat warranty. After that, problems have to be taken up with the respective manufacturers. This highlights an important point. Remember that warranties, whether for the entire boat or the VHF, are nearly always “limited,” which means that it’s up to you to return the boat, engine, or broken radio to the manufacturer for servicing.

By: KATHERINE M.

It used to be that manufacturers seemed to believe new-boat warranties were an essential evil; the small print on the back of the sales brochures offered little and lasted for hardly a year. But now manufacturers admit that warranties can differentiate their products from their competitors and that buyers are catching on.

Warranties have improved, with adequate coverage and longer durations, and mo st are now transferable. Regardless of the improvements, warranty language could be more user-friendly, and exclusions often take up more space than coverages. The following are a few of the most f requent questions boat buyers have.

Q: I have several different warranties. Why isn’t there just one?

A: Boatbuilders typically provide a warranty that promises their boat will be free of defects for a period, often one to two years. This warranty covers things like steering systems, electrical and plumbing systems, and other items the manufacturer builds. In addition, builders often

Q: The engine on my new boat broke down, and the boatbuilder won’t cover the repairs. What should I do?

A: G enerally, the engine manufacturer, not the boatbuilder, provides engine warranties. Often, the dealer handles the warranty for both, so it’s recommended that you buy from a dealer certified for engine warranties, too. Otherwise, you’ll need to take the boat to an authorized shop.

Q: Is my warranty transferable?

A: Most manufacturers allow the remainder of their new boat warranty to be transferred — but only to the second owner. Hull warranties are usually transferable to the second owner too, but remember that on both warranties, the time starts the day the boat is delivered to the first owner. In addition, unfortunately, some manufacturers charge up to $1,000 to transfer a warranty.

U sually, blister warranties aren’t transferable. For example, if the boat has a lifetime hull warranty, it usually won’t transfer to the second owner. In any case, manufacturers have specific procedures to be followed to transfer a warranty, and neglecting to dot all the i’s and cross your t’s can cause issues for the second owner.

Q: Can I take my boat to a local shop for warranty work?

A: That’s a no. Manufacturers arrange with their dealers to pay them for hourly warranty work and parts. Dealers are f actory-trained and know the ins and outs of manufacturers’ boats. Sometimes, a dealer, specifically a smaller one, cannot take care of complex or challenging repairs. The manufacturer will arrange a non-dealer shop to do the work and pay them directly. But the manufacturer must approve it before any work begins, or the owner will be responsible for the bill.

M anufacturers often want the boat returned to them for significant hull repairs, like cracks or delamination. But b eware. The Consumer Protection Bureau has received reports that some manufacturers are unwilling to pay for the transportation or that they keep the boat for weeks— you can negotiate the transportation costs. Be sure to get in writing what the repair entails and how long the factory plans to keep your boat. Know that warranties exclude fees for loss of use, and you’ll still have to pay loan payments and insurance if your boat is out of service. When buying a boat long-distance, try to arrange with the manufacturer to have the warranty work done by a dealer that’s closer to you.

Q: What can void my warranty?

A: Taking a boat to a dealer not authorized for warranty repairs will usually void the warranty and leave you with the bill unless approved beforehand. However, suppose a non-dealer shop or yourself c onducts regular maintenance. In that case, it won’t void your warranty as long as the manufacturer approves the materials used (oils, lubes, and parts). If a dealer doesn’t perform the maintenance, keep accurate records in case you need proof later.

In addition, commercial use of a boat usually voids the manufacturer’s warranty, and using an LLC to buy a boat could b e construed as commercial use. Some manufacturers, such as Nitro, state that if a boat is registered to a corporation, or multiple persons (not a married couple), it’s assumed to be used commercially, and the warranty is void. Check with the manufacturer if you need more clarification. Federal documentation of ownership is not considered a commercial use. Racing, lack of proper maintenance, damage, abuse, installing too large an engine, and overloading the boat are all legitimate grounds for voiding a warranty.

I ncidentally, manufacturers usually require that a new owner fill out a registration form within 15 days of purchase to validate the warranty. Federal law does not require doing this; however, it’ll likely make the paperwork process easier when repairs are necessary. It also gives the manufacturer contact information in case of a recall.

Q: My manufacturer was bought by another company. Will they honor my warranty?

A: Not likely. When builders go out of business, the company’s assets, not the liabilities, will be sold to a new corporation, even if the name is the same and the new company keeps building the same boat. Not buying the liabilities frees them from having to honor warranties.

Ultimately, it’s better not to rely on a salesman’s assurance when they claim that everything will be taken care of. Instead, read the warranty or call the manufacturer to find out for sure. Warranties may be hard to navigate, but to head off surprises in the future, spend some time with yours.