Do you 'burp' you hot water heater regularly/seasonally?
1. If the hot water tank/heater is not burped so that all air is removed it is possible that the coil from the engine will not be totally submerged. With the potable water system pressurized, simply momentarily open the 'pressure relief valve', hold open until all the air escapes, close, do again, to be sure that all air is out of the 'potable water side' of the heater.
2. If the hot water heater is physically HIGHER than the engine ('radiator cap') or if the water heater is 'very high' you will have to 'occasionally burp' the lines that come from the engine or they can become 'air blocked'. The solution for air blocked lines is to apply a tee and a cock-valve at the physically highest portion of the engine hose that runs to (AT) the hot water heater or at where the engine hot water line is at its 'highest'. Open the cock valve to purge any air blockage. Boat Hot water heaters 'should' be installed 'as low as possible' .... so that any air that develops or is trapped in the hosing will naturally flow back to the engine .... and out through the radiator cap and/or reserve coolant tank/'bottle'.