USCG Documentation is required for vessels engaging in commercial activities or “coastwise trade”. All vessels engaged in chartering are required to be USCG Documented. Documentation is also normally required when a vessel is financed with a mortgage. Banks and lenders rely on ‘Preferred Ship Mortgages’ to be recorded by the US Coast Guard in order to secure their collateral.
While Documentation is not required for other recreational circumstances, it is generally preferred over State registration, which can prove more complex in the long run (stickers, decals, expiration penalties, etc). Documentation allows for 5-year expiration, while most State registration must be completed annually.
For vessels traveling ouside US waters, Documentation is strongly preferred over State registration, as Documentation is internationally recognized and provides US Flag registration for that vessel. Customs and Border protection for foreign countries accept Documentation paperwork over State Registration.
If you wish to obtain a Certificate of Documentation CG-1270 for your vessel, you may proceed to the following link below:
https://unitedstatesvessel.us/certificate-of-documentation/
