A Panama charter must carry a civil liability policy: the ATP requires one for marine tourist transport, and the AMP requires one, plus a performance bond, for the operating licence. Yacht leasing under Resolution J.D. 089-2020 needs a wider policy covering 13 named risks. Hull cover is your choice. Buy from an insurer authorised by the Superintendencia de Seguros.
Hull, liability and passenger cover: what each one pays
- Hull and machinery (casco) pays for damage to your own boat: grounding, fire, sinking, theft. No agency requires it for a day-charter boat, but a bank financing the boat will, and the AMP's yacht-leasing policy list includes it.
- Civil liability (responsabilidad civil), called P&I on larger vessels, pays third parties you injure or whose property you damage, including your own guests, when you are legally at fault. This is the cover the ATP and the AMP ask for.
- Passenger personal accident pays a guest's medical costs or a death benefit after an accident on board, whether or not you were at fault. It settles small injuries quickly and often heads off a liability claim.
- Wreck removal and pollution pay to raise or remove a sunk boat and clean up fuel. In a busy bay next to the canal those costs can exceed the boat's value.
What the ATP and the AMP require
| Who asks | What | Minimum amount |
|---|---|---|
| ATP, marine tourist transport (Decreto Ejecutivo 82 of 2008) | Civil liability policy | Not published; confirm with the ATP |
| AMP operating licence, transporte de pasajeros (Resolution J.D. 011-2019) | Performance bond and civil liability policy | Set in the resolution that grants your licence |
| AMP yacht leasing (Resolution J.D. 089-2020) | Policy covering material damage, wreck removal, personal injury, water-ski liability if used, third-party liability, legal costs, pollution, marine ecological damage, medical expenses, hull, guests, air ambulance and hospitalisation | Not stated in the resolution |
| AMP, passenger vessels over 12 persons with an international-service patente operating in Panamanian waters | Policy for each person aboard | At least $20,000 death and $10,000 medical per person (press report of Resolution 106-77-DGMM) |
| ACP, commercial small craft in Canal waters (notice N-11) | Third-party liability | Confirm with the ACP |
The AMP's operating-licence FAQ says the amounts of bonds and policies are calculated and fixed in the administrative resolution that authorises your service, and are due after it is notified. Do not buy the final policy until you know the figure. The licence itself is explained in AMP commercial vessel licensing.
Buying cover in Panama
Insurance in Panama is regulated by Ley 12 of 2012. It recognises the Superintendencia de Seguros y Reaseguros de Panamá as the autonomous supervisor, and places insurers, bonding companies, agents and brokers under its prior authorisation and supervision. Selling insurance without that authorisation is sanctioned; the Superintendencia has described fines of $10,000 to $100,000 for unlicensed sellers.
In practice:
- Use a licensed broker with marine experience, and ask for their licence number.
- If the agency needs a local policy, a foreign yacht policy may not satisfy it. Ask the ATP and AMP whether they accept it before you rely on it.
- Name every captain who will run the boat, and state the commercial use and the certified capacity in the proposal.
- Get the bond and the liability policy from the same insurer if you can; it simplifies renewals.
What a waiver can and cannot do
Many operators from Florida bring an English liability waiver. In Panama it is weaker than you might expect. The consumer protection law, Ley 45 of 2007, says the general conditions of adhesion contracts that restrict the consumer's rights are abusive and absolutely void, and it lists terms drafted in a language other than Spanish among them. A standard pre-printed waiver handed to a guest is an adhesion contract.
Use a bilingual document, with Spanish as the governing text, that informs rather than excuses: the route, the swim and snorkel rules, alcohol rules, the captain's authority, medical disclosures and the guest's own responsibility for following instructions. Have a Panamanian lawyer review it. It records that you briefed the guest; it does not replace insurance.
Booking platforms and the exclusions that matter
Booking platforms set their own insurance conditions for listed boats and some offer cover of their own. Read the owner terms: platform cover usually sits on top of, or instead of, your policy only for trips booked through that platform, and it does not satisfy the ATP or AMP. See charter marketing platforms.
Check three exclusions in any marine policy: carrying more people than the certificate allows (see passenger limits), an unnamed or unlicensed operator, and commercial use of a boat insured as private. Any of the three can leave you uninsured on the day you need it. Ask the broker to confirm in writing that none applies to how you actually operate.
Your practical starting checklist
- Ask the ATP and the AMP for the minimum limits that apply to your service.
- Choose a broker licensed by the Superintendencia de Seguros y Reaseguros.
- Buy civil liability first, then passenger accident, wreck removal and hull.
- Name every captain and state the commercial use and capacity on the proposal.
- Post the AMP performance bond once your licence resolution is notified.
- Use a bilingual, lawyer-reviewed guest briefing form, with Spanish as the governing text.
Frequently asked questions
Is liability insurance mandatory for charters in Panama?
Yes. The ATP lists a civil liability policy among its minimum requirements, and the AMP requires a civil liability policy and a performance bond for the operating licence.
How much liability cover does a Panama charter need?
The ATP does not publish a minimum. The AMP fixes bond and policy amounts in the resolution that grants your licence. Larger passenger vessels in one AMP category need at least $20,000 death and $10,000 medical cover per person.
Will an English waiver protect me in Panama?
Not reliably. Ley 45 of 2007 voids adhesion-contract terms that restrict consumer rights or are not in Spanish. Use a bilingual briefing form and keep insurance in place.
¿Qué seguro necesita un chárter en Panamá?
Una póliza de responsabilidad civil para la ATP y para la licencia de operación de la AMP, además de una fianza de cumplimiento. El arrendamiento de yates exige una póliza más amplia. Compre con una aseguradora autorizada por la Superintendencia de Seguros y Reaseguros.
The next question to answer
Where insurance fits in the full checklist. Read Every licence and permit a Panama charter needs.
The registration that asks for your policy. Read ATP tourism operator registration.
What happens when cover or licences lapse. Read Illegal charters in Panama.
Official resources
Use the relevant Panamanian authority for current requirements and fees. These resources are the next place to check; a practical recommendation is not an agency determination.
- AMP: Resolución J.D. 089-2020, arrendamiento de yates (insurance list) ↗
- AMP: Preguntas frecuentes, licencia de operación (bonds and policies) ↗
- ATP: Reglas de procedimientos (requisitos mínimos, transporte turístico marítimo) ↗
- Ley 12 de 2012, regula la actividad de seguros (vLex, secondary copy) ↗
- Ley 45 de 2007, protección al consumidor, art. 74 (Université Laval copy, secondary) ↗
- La Estrella de Panamá: AMP aprueba nuevas inspecciones para naves de pasajeros (secondary, press) ↗