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Yacht and Private Jet Insurance: Navigating Coverage for Luxury Assets
A yacht docked in Port Hercules or a jet waiting on the tarmac at Al Maktoum might look like symbols of leisure. But make no mistake, these are operating entities. They move through multiple jurisdictions, require a web of permissions, employ trained staff, and can expose families to legal, financial, and reputational risk with a single misstep.
For high-net-worth families today, yacht and private jet ownership is increasingly common, especially in hubs like the UAE, where visiting superyachts rose by over 12% in the 2023–24 season alone [1]. But while acquisition is accelerating, insurance planning hasn’t always kept up. Policies are often signed as an afterthought, detached from the rest of the family’s wealth architecture. That gap is where risk can creep in.
Yacht and jet insurance should be treated like a playbook
Most owners think of insurance as a backup: a piece of paper to satisfy marina operators or flight charters. But for globally mobile families, coverage isn’t just protection. It’s governance. A well-structured policy clarifies who’s liable in a crisis, what happens if a staff member is injured, which jurisdictions can freeze or claim assets, and how claims unfold in the face of technical fault or human error.
This is especially relevant as ownership demographics shift. The average yacht owner today is closer to 40 than 55, which signals a generation more comfortable with complexity, but also more exposed to it, given the speed at which they accumulate assets and responsibilities[2].
A strategic insurance framework helps absorb that complexity. It creates a buffer between personal wealth and operational exposure. And when integrated into a family office or trust-based structure, it becomes a mechanism for intergenerational continuity.
Structure determines exposure
Few families realise how much the structure of ownership affects risk. Is the jet held by an offshore entity? Is the yacht flagged in a jurisdiction that recognises your trust or succession documents? These questions can be the difference between a clean claims process and months of frozen access.
Different jurisdictions interpret liability differently. A coverage plan that works in Monaco may not hold in Dubai. And a crew contract drawn up in the UK may not be enforceable if the yacht is serviced in Asia. These cross-border inconsistencies are where most litigation arises, from gaps in structure.
That’s why insurance must be reviewed regularly and in sync with travel plans, new hires, or shifts in holding entities. Yearly legal and compliance reviews are the minimum standard.
Let’s proactively take advantage of this opportunity and commit to providing our older-age clients with the best possible decisions.
Premiums and preparedness are not synonymous
Insurance can feel unsatisfyingly abstract for families used to evaluating investment performance. Premiums look like sunk costs. Claims are rare. And the documents are thick with jargon. But that’s a view that needs to be challenged regularly.
A well-negotiated policy is about leverage. It can prevent forced asset sales, mitigate tax exposure in sudden death scenarios, and define exactly how risk is allocated across staff, family members, and operating entities. In jurisdictions like the UAE, where inheritance laws can override family intentions, these distinctions are crucial, especially for long-term residents and Golden Visa holders.
The UAE is rising as a global yachting hub, with over 7,000 locally registered boats and top-tier marina infrastructure [1], and international families are anchoring more of their lifestyle here. That comes with opportunity but also responsibility.
Don’t forget about the people on board
Even the most advanced yacht or jet can be brought to a standstill by a misjudged call from the crew or a miscommunication between staff and service providers. Human error remains one of the biggest sources of liability and needs to be accounted for.
Standard policies might cover accidents. But who is covered for negligence? What happens if a family friend is injured onboard? Are SOPs in place for what triggers an insurance claim, and do crew members know how to act accordingly?
These aren’t details to be worked out post-incident. They are governance issues that must be part of the family office’s internal SOP, like a blueprint for operations. Luxury asset insurance is not about the object alone. It’s about what the object enables: movement, access, reputation, and optionality. And those need protection.
When the stakes span continents, currencies, and generations, peace of mind isn’t found in a premium; it’s in knowing you’ve thought through what others miss. At Continental, we work with families to integrate insurance as part of their broader mobility, risk, and estate planning strategies. Reach out to one of our experts today.
The future of wealth management lies in a hybrid model, where AI and human expertise work in tandem to deliver superior outcomes. AI tools serve as an extension of the advisor’s capabilities, enabling them to focus on high-value tasks while automating repetitive ones. We will increasingly see a new pattern over the next decade, where an advisor might use AI to identify trends in a client’s portfolio but rely on their own judgment to tailor the recommendations to align with the client’s broader life goals.
As firms adopt AI-driven platforms, they must do so with a clear understanding of their strengths and limitations. Investors, too, should be cautious not to rely solely on technology.