Airport liability insurance guide
As an airport or FBO, having the proper insurance is essential if something goes wrong.
Unfortunately, accidents do happen and can often lead to costly lawsuits. That’s where airport liability insurance comes in. This type of insurance can help protect you from a variety of risks, including aircraft accidents, passenger injuries, and property damage.
Airport liability insurance is essential for any airport or FBO that wants to protect itself from potential risk. BWI has the experience and expertise to help you find the right policy for your business.
This guide discusses the types of coverage typically included in airport liability insurance policies. We’ll also explain why it’s vital to have comprehensive coverage to protect against increased liability risk and exposure associated with on-site aviation operations.
Keep reading to learn more about airport liability insurance and how it can help you protect your business.
What is Airport Liability Insurance?
Airport liability insurance is a type of insurance that helps protect airports and FBOs from potential legal liabilities. These policies can cover a variety of risks due to on-site operations involved in aviation, including:
- Lawsuits and litigation.For a covered claim, airport liability insurance may help with defense costs, settlements or damages, subject to the policy terms.
- Aircraft accidents.Whether an airport policy responds depends on the insured’s liability and the policy terms. Damage to an aircraft is not automatically insured simply because an accident happened on airport property.
- Passenger injuries.Discuss your operation’s legal liability for injuries to passengers and visitors, including the policy’s covered activities and exclusions.
- Third-party bodily injury. This coverage can help pay for the medical expenses and damages incurred by an injured third party on airport property.
- Property coverage. Insurance for your own buildings, equipment or other property is distinct from liability coverage. Review those needs separately.
- Third-party property damage.Liability coverage may respond when your operation is legally responsible for covered damage to someone else’s property, subject to policy terms.
It’s critical to have this coverage in place because the risks associated with aviation are often much higher than those involved in other types of businesses. For example, an aircraft accident can result in serious injuries or even death, leading to costly lawsuits.
For covered claims, airport liability insurance may help address defense costs, settlements or damages under the policy terms. As a result, it’s imperative to ensure that you have a policy that matches your declared operations, with its limits and exclusions understood.
What Does Airport Liability Insurance Cover?
So, what types of coverage are typically included in airport liability insurance policies?
Primary liability coverage and excess liability coverage serve different roles. Any excess coverage must be reviewed alongside the underlying policy; it is not automatically included in every airport policy.
Ask BWI to review the limits, covered operations, exclusions and any excess coverage proposed for your airport or FBO.
An airport or FBO may need several distinct coverage types. Discuss how the following fit together rather than assuming they are all included in one policy:
- Airport Premises Liability Coverage. This coverage can help protect your airport or aircraft hangar from lawsuits that may arise from accidents or injuries on airport property.
- Aircraft Hangarkeepers Liability Coverage. If you operate a hangar on airport property, hangarkeeper’s liability insurance can help protect you from risks associated with storing and maintaining aircraft.
- Aviation Workers Compensation Coverage. This type of coverage can help protect your employees in case they are injured while working on airport property.
Premises liability, hangarkeepers liability and workers compensation address different exposures. BWI can help you discuss which policies and endorsements are appropriate for your operation.
Insure Your Aviation Business with BWI
Since 1977, BWI has specialized in aviation insurance nationwide. This family-owned insurance brokerage understands the unique risks associated with aviation and can provide the coverage you need to protect your business.
With more than 40 years of experience, BWI’s aviation insurance professionals are trained to provide coverage options for your operation. Our team is available to discuss your questions and the next steps in requesting coverage.
Airport liability insurance is vital for any business that owns or operates an airport. This type of insurance can help protect your business from risks threatening its financial stability.
BWI Aviation Insurance can help you find the right airport liability insurance policy for your business. Tell our team about your operations, requested limits and budget so we can discuss available options.
BWI can help you review available insurance options for your operation. To get started, request a quote for airport liability insurance from www.bwifly.com or call 800.666.4359.
Coverage options, limits and exclusions vary by insurer and operation. The issued policy determines what is covered; a quote request does not bind coverage.
