The question always arrives late. The dates are agreed, the yacht is chosen, the contract is sitting in the inbox, and then the email lands: what happens if something goes wrong? Who pays if a guest breaks something, or worse, if someone gets hurt?
It is the right question, and almost nobody answers it clearly before the money moves. So here is the honest version. This is how the insurance on a Greek crewed charter actually works: who carries which risk, what is already handled for you, and the two things you should arrange yourself.
A note before we begin. This is general information from a working broker, not legal or insurance advice. The documents that control your charter are the signed charter agreement and the vessel's own policies, and a few minutes confirming the specifics with your broker is always worth it.
The Short Answer
- The owner insures the yacht. Under the MYBA charter agreement, the owner must insure the vessel, the crew, and a wide range of third-party risks before a single guest steps aboard. That is the owner's obligation, not yours.
- You are liable for your own negligence. The same clause keeps the charterer responsible for loss or damage caused by the charterer or guests that the owner's policy does not recover. In practice, that is what the security deposit is for.
- APA is not insurance. The Advance Provisioning Allowance is a prepaid running-cost fund for fuel, food, and port fees, reconciled at the end of the week. It covers expenses, not accidents.
- Greek law adds its own layer. Greek legislation requires third-party liability insurance for commercial pleasure craft, with the certificate carried on board. This sits on top of the MYBA contract, not instead of it.
- You should add two things yourself. Personal travel insurance for every guest, and, if you want to protect your deposit and your own exposure, charterer's liability or damage-waiver insurance.
What the Owner's Policy Covers
On a crewed charter, the heavy lifting is done before you arrive. The MYBA Charter Agreement, the contract used across the Greek crewed fleet, places the insurance obligation squarely on the owner. In the 2009 and 2017 forms this is Clause 16, the insurance clause.
The wording is specific. The owner must insure the vessel with first-class insurers against all customary risks for a yacht of her size, value, and type, on cover no less than the Institute Yacht Clauses 1.11.85, extended to permit chartering. Those Institute clauses are the standard English-law hull and machinery cover, administered through the Lloyd's Market Association and the International Underwriting Association.
From there the clause reaches outward. It requires third-party liability cover, and it names the water toys directly: jet skis, wave runners, windsurfers, dinghies, and the other equipment carried aboard. It extends to war, strikes, and pollution. And it includes insurance of the crew against injury and against third-party liabilities incurred while they work. The boat, the people running it, and most of what you will do for fun are already covered by the owner before you sign.
One practical point the contract itself gives you. The owner's insurance documentation is meant to be available to the charterer on request. You are entitled to ask to see confirmation of cover, and a good broker will have it ready.
Where Your Liability Begins
The owner's policy is broad, but it is not a blanket over everything you might do. The same insurance clause keeps the charterer responsible for loss, damage, or liability arising from the negligence of the charterer or the guests, where that loss is not recovered under the owner's insurance.
This is the line worth understanding. The contract routes claims through the charterer, who is legally responsible for the conduct of everyone aboard as guests. The maritime lawyers at HFW, writing in Boat International, put the distinction plainly: a contractual claim flows to the charterer, but certain personal acts, criminal conduct such as assault or theft, can make an individual guest personally liable in their own right.
For the ordinary charter, this means something simple. Treat the yacht with care, and the owner's cover and your deposit handle the rest. The risk you carry is the risk of damage you cause.
The Security Deposit and the Deductible
This is where the security deposit fits. Held by the stakeholder on the owner's behalf and referenced in Clauses 16 and 17 of the agreement, the deposit is the working mechanism for charterer-caused damage. At the end of a clean charter it comes back to you in full.
It connects to the owner's policy through the deductible, the excess the insurer applies to a claim. The MYBA clause says the cover is subject to the excess customary for a vessel of that size, value, and type. The practical effect is that damage you cause which falls within that deductible is settled from your deposit rather than from the policy. Damage beyond fair wear and tear is usually assessed with repair quotes, then reconciled against the deposit before it is returned.
APA Is Not Insurance
It is worth stopping here, because the question comes up constantly. The Advance Provisioning Allowance, the APA, is not an insurance product and not the security deposit. It is a fund you pay in advance so the captain can run the boat: fuel, food, drinks, berthing, port fees. It is spent at cost, accounted for with receipts, and whatever is left at the end of the week is returned to you.
So when you read APA on your charter paperwork, read prepaid expenses, not cover. Insurance is a separate matter, handled by the owner's policy and by anything you choose to add. We walk through the full money structure, APA included, in our complete 2026 cost breakdown.
What You Should Add Yourself: Charterer's Insurance
The owner's policy protects the owner. It is not designed to protect you against your own contractual exposure, your deposit, or a cancelled trip. For that, the MYBA agreement itself recommends that the charterer consider personal travel insurance, cancellation cover, and charterer's liability insurance.
These products exist and are well established. Steamship Mutual, for example, offers a charterer's liability cover and notes openly that the owner's P&I protects the owner's liabilities, not the charterer's or the guests'. Pantaenius and Topsail offer charter deposit insurance, which reimburses a deposit retained for damage. IYC and others offer charter liability cover for damage a guest causes to the yacht. The point is not which provider you choose. The point is that this is your side of the table, and it is optional but sensible.
Travel Insurance for Every Guest
Separate again from all of the above is ordinary travel insurance, and every guest should carry it. The yacht's policies cover the yacht and the owner's liabilities. They do not cover a guest's medical bill, an evacuation, a missed flight, or a trip cancelled because a family member fell ill.
For a week at sea, the cover worth having includes trip cancellation and interruption, emergency medical treatment and evacuation, repatriation, and baggage. Evacuation matters more here than on a city holiday, because a medical problem at anchor off a small island is a logistics problem before it is a medical one. This is inexpensive, and it is the single most common gap we see.
The Greek Legal Layer
Everything above is the MYBA contractual framework, and it travels across the Mediterranean. Greece adds a statutory layer of its own, and this is where a Greece-specific charter differs from a generic one.
Greek law requires third-party liability insurance for commercial pleasure craft. The framework was modernised by Law 4926/2022, published in the Government Gazette in April 2022, which sets compulsory minimum third-party liability cover for vessels under 300 gross tons and requires the certificate of insurance, in Greek or English, to be carried on board. Article 17 of that law fixes the statutory minimum limits, with separate floors for death or bodily injury, for material damage, and for marine pollution. For a licensed commercial charter yacht this cover is not optional, and the certificate proving it must be aboard.
A charter that begins, ends, or changes guests in Greek waters runs under a Greek charter licence, and proof of insurance is part of that licence. Greek-national crew carry their own social-security cover through the national seamen's fund. None of this is your paperwork as the charterer. It is the operator's. But it is the reason a properly licensed Greek charter is a documented, insured operation rather than a handshake.
The Twelve-Guest Line and Passenger Liability
One more distinction, because it surfaces in research and is easy to get wrong. There is a European compulsory passenger-liability regime, Regulation 392/2009, which applies the Athens Convention to ships licensed to carry more than twelve passengers. The standard crewed charter yacht is capped at twelve guests, which places it below that threshold and outside that particular regime. Greek law allows commercial pleasure yachts to be configured for more passengers in day-charter use, but the twelve-guest line is the one that governs how a yacht is classified for these international rules. If your group is larger than twelve, the framework changes, and we cover that case separately.
The Charterer's Checklist
If you want a short list to run through before you sign, here it is.
- Ask to see confirmation of the vessel's insurance cover. The contract entitles you to it.
- Check that permission to charter is on the policy. A private-use policy is not enough.
- Confirm the water toys you plan to use are covered.
- Understand the deductible, because that is the figure your deposit is exposed to.
- Buy personal travel insurance for every guest, with medical and evacuation cover.
- Consider charterer's liability or deposit-waiver insurance if you want to protect your own exposure.
- For a Greek charter, confirm the operator holds the charter licence and the required insurance certificate.
Frequently Asked Questions
Who is responsible for insurance on a Greek yacht charter?
On a crewed charter under the MYBA agreement, the yacht owner is responsible for insuring the vessel, the crew, and a broad set of third-party risks, including water toys, war, strikes, and pollution. This is the owner's obligation under the contract's insurance clause. The charterer remains responsible for loss or damage caused by their own or their guests' negligence, which in practice is handled through the security deposit. Greek law separately requires the vessel to carry compulsory third-party liability insurance.
Does my charter fee include insurance?
The charter fee includes the yacht's own insurance, the cover the owner is required to carry for the vessel and crew. It does not include insurance for you as the charterer. Your personal travel insurance, and any charterer's liability or deposit-waiver cover you choose, are separate and arranged by you.
Is APA a form of insurance?
No. The Advance Provisioning Allowance is a prepaid fund for running costs such as fuel, food, drinks, and port fees. It is spent at cost during the charter and reconciled at the end, with any balance returned. It is not insurance and not the security deposit, which are separate things.
What does the security deposit actually cover?
The security deposit covers damage to the yacht caused by the charterer or guests, typically up to the deductible on the owner's insurance policy. It is held by the stakeholder during the charter and returned after a clean charter once accounts are settled. Damage beyond fair wear and tear is assessed and reconciled against it before return.
Do I need travel insurance for a yacht charter in Greece?
It is strongly recommended, and the MYBA agreement itself advises charterers to consider it. The yacht's policies do not cover a guest's medical costs, emergency evacuation, repatriation, or a cancelled trip. For a week at sea, cover including medical treatment and evacuation is the most important gap to close, and it is inexpensive relative to the charter.
Does Greek law require yacht insurance?
Yes. Greek law, updated by Law 4926/2022, requires compulsory third-party liability insurance for commercial pleasure craft under 300 gross tons, and the certificate of insurance must be carried on board in Greek or English. For a licensed charter yacht this cover is mandatory. It applies on top of the owner's MYBA insurance obligations, not instead of them.
How to Plan Yours
Insurance is one of those parts of a charter that should be invisible when it is done right. On a properly run Greek charter, the cover is in place, the certificate is aboard, and the only policy you arrange is your own travel insurance. If you want the specifics for a particular yacht confirmed before you commit, that is exactly the kind of question a broker should answer in writing.
I broker crewed charters exclusively in Greek waters, under MYBA-standard contracts. Book a free thirty-minute consultation or reach me on WhatsApp at +1 786 798 8798.
Explore More
- Greek Yacht Charter Contract Explained: MYBA Standard Terms
- How Much Does a Yacht Charter in Greece Actually Cost? The Complete 2026 Breakdown
- You Said Yes to the Charter, Now What? The Complete Booking-to-Boarding Process
- Yacht Charter in Greece for More Than 12 Guests: How Groups of 14+ Do It Legally
- TEPAI Tax Greece 2026: The Complete Yacht Charter Breakdown
Sources and References
- MYBA (Mediterranean Yacht Brokers Association) Charter Agreement, Clause 16 (Insurance) and Clause 17 (Security Deposit): owner's insurance obligations, charterer liability, deductible, and deposit handling
- Institute Yacht Clauses 1.11.85 (CL.328), Lloyd's Market Association and International Underwriting Association: standard English-law hull and machinery cover
- HFW (Holman Fenwick Willan), via Boat International: contractual versus personal liability of charterers and guests under the MYBA agreement
- Steamship Mutual, Pantaenius, Topsail Insurance, and IYC: charterer's liability and charter deposit insurance products
- Greek Law 4926/2022 (Government Gazette A' 82, 20 April 2022), Article 17: compulsory third-party liability insurance for pleasure and commercial craft, minimum limits, and the on-board certificate requirement
- Regulation (EC) No 392/2009 and the Athens Convention 2002 (EUR-Lex): passenger-liability regime for ships carrying more than twelve passengers
About the Author
Written by George P. Biniaris, Managing Broker at George Yachts and IYBA Charter Active Member. Licensed skipper with hands-on experience across Greek waters. BSc in Shipping Management & Operations, Business College of Athens. Featured in Forbes, May 2026. Based in Athens. This article is general information drawn from the MYBA charter agreement, Greek maritime law, and named insurance sources. It is not legal or insurance advice, and the controlling documents are always your signed charter agreement and the vessel's policies.
To plan a crewed charter in Greek waters, book a free consultation or contact george@georgeyachts.com.
