Why Is It Important to Obtain a Certificate of Documentation as a New Boat Owner?

The US relies heavily on maritime transportation. Hence, the government set up laws to mandate certain boats to document them with the USCG. It is important to note that not all boats can be given a certificate of documentation. There are requirements that you must meet before you can document it with the USCG. 

The Importance of a Certificate of Documentation 

This COD is issued by the federal government. It provides legal recognition to a vessel. It indicates that your boat complies with the laws and regulations set forth by the USCG. As a new boat owner, obtaining it is the first step in ensuring legal compliance with national and international maritime standards.

Ownership Proof

You can use this certificate to prove ownership. It can serve as concrete proof of ownership of the boat. It is vital for you as a new boat owner if you wish to establish your rightful ownership and secure your investment. This certificate includes details about the ownership history of the boat. It also provides a clear record for any future transactions. 

International Travel and Navigation 

If you are planning to navigate the international waters, this COD becomes even more crucial. Many countries require vessels to have proper documentation for entry. Having the COD on board ensures smooth international travel. It also prevents complications at foreign ports. Thus, it enhances your boat’s global navigability. 

Access to Federal Waters and Privileges

Some privileges come with having a documented vessel. This is especially true when it comes to accessing federal waters and participating in specific activities. If you plan to engage in activities like coastwise trade or other commercial endeavors, having this document is a prerequisite. 

Financing and Insurance 

If you wish to borrow money from a bank to finance your boat purchase, you will need to present this document to your lender. The COD serves as evidence of legal ownership. It can streamline the financing and insurance processes. It also leads to more favorable terms. Furthermore, most lenders will only approve loans to documented boats. 

Clear Identification 

This COD includes vital information about the boat, like name, hailing port, and specifications. This clear identification is vital for effective communication, especially in maritime activities. It helps avoid confusion. It also enhances safety on the water and contributes to seamless interactions with other vessel authorities. 

Documentation of Maritime Liabilities

You can also check this document for vessel history. That is, you can check the boat’s history regarding accidents and any maritime liabilities. This documentation provides insights into the vessel’s condition. From there, you can assess potential risks and make informed decisions. 

Adding Significant Value 

If you maintain its documentation, it is easy for you to sell the boat in the future. The reason for this is that the COD can add significant value to your vessel. It facilitates a smoother transfer of ownership by providing a comprehensive and recognized record of the boat’s history and legal standing. 

Certificate of Documentation

A Legal Requirement 

Obtaining a Certificate of Documentation is sometimes a legal requirement. If your boat meets the requirements, you need to obtain it. For initial documentation, you may check out the form on the left side of this page. Or call us if you need further help with renewal.