There are few things as exciting as flying. Whether you own your own plane, are considering buying one, or you rent from others, you just want to be up there in the skies.
To make sure you can stay up there, you need a good understanding of different types of aviation insurance. Not carrying the right insurance can be costly enough to keep you grounded. Generally, aviation insurance is broken down into coverage of people, property, and aircraft, and you can learn more in this aviation insurance coverage guide.
Different Types of Aviation Insurance
Unlike other types of insurance, there few legal requirements regarding the types of aviation insurance you have to carry. There are plenty of laws, however, that dictate what you are liable for if you get into an accident with your aircraft. When you are choosing your aviation insurance, get as much coverage as you can afford to protect yourself against paying for major damage.
Even a minor occurrence in a plane could end up costing an incredible amount of money, so think it through, talk to an experienced aviation insurance broker, and get yourself properly protected. Falling to protect yourself in even one aspect of aviation insurance could cost tens of thousands of dollars if not more.
Property Liability Insurance
This part of your aviation insurance covers things that your plane could damage in an accident. It does not cover the plane itself or anyone in it. For example, if you have a rough landing, your property liability insurance covers things like hangars, fencing, or another plane.
Passenger Liability Insurance
Your passenger liability insurance covers people in your plane who are injured during an accident.
Insurance companies can combine your property and passenger liability coverages in a single policy. If the amount of your coverage for a single incident can be claimed by a single passenger, it is called a smooth limit policy.
Most often, insurance companies will offer you a policy with sublimits so that an individual passenger is capped in the amount they can claim. For example, your overall liability coverage might be $1 million, but each passenger is limited to collecting $100,000 under the policy. If you worry about paying out claims above that limit, talk to your broker about paying more for higher liability aviation insurance.
Not In Motion Ground Hull Damage Insurance
This coverage protects your aircraft when it is grounded and not moving. For example, this would cover you if another plane hits yours in the hangar when your plane is parked.
In Motion Ground Hull Damage Insurance
Sometimes when you aren’t flying your plane is still in motion. You might be moving it from the hangar to the airstrip and end up colliding with another plane or damaging a wing by hitting a vehicle. Your hull damage insurance is in place to cover this.
In-Flight and Ground Combined Insurance
This covers damage to your aircraft that occurs when you are in flight as well as damage that occurs on the ground. It is usually the most expensive of the options, but considering the cost of repairing or replacing planes, it is well worth the extra expenditure.
Aviation Insurance During Storm Seasons
If you live in an area that is prone to storms, you should consider several factors, including purchasing additional insurance above that provided by the basic coverages mentioned above. First, be sure to discuss the physical damage insurance you already have with your broker so you can add to it if you need to.
Review Your Aircraft Physical Damage Insurance
If you overinsure your plane, you could end up paying more than you need to. It could also result in the insurance company paying for repairs when you want to total the aircraft.
If you underinsure it, you may not be able to afford to fix it or replace it in the case of damage. This is a big problem in areas where planes are prone to storm damage. If you aren’t careful with your policy, it could contain exclusions that don’t allow you to collect after damage from things like tornadoes or hurricanes.
Cover Yourself If the Hangar Doesn’t
If you store your plane in a hangar, insist on reading the hangerkeeper’s insurance policy to see how well they can protect your plane. If a weather event is considered an act of god, the insurance company won’t pay out to the hangarkeeper unless they have additional coverage.
Consider Hurricane Relocation Aviation Insurance
Some insurance companies include insurance coverage if you relocate your plane before a storm to get it out of harm’s way. It covers things like fuel and other expenses involved in moving your aircraft.
Have a Plan in Place
Having a good plan in place for bad weather can affect your insurance rates down the road if it prevents damage. Insurance companies charge people more for policies if they have a history of making claims. Some tips for protecting your plane and your insurance rates include:
- Make alternate arrangements to store your plane, even if you already have a hangar. If you wait too long you won’t be able to find hangar space.
- Plan early to have enough fuel as it may not available when you want to move your plane
- If at all possible, find another pilot who is qualified and authorize them to move your plane if you can’t. Make sure they meet the standards for pilots covered under your insurance policy.
If you keep your aircraft tied down on your property, do what you can to protect it before a storm. Move any objects that might be hurled into your plane or tie them down securely as well. Point the nose of your plane into the expected direction of the wind to try and keep it as secure as possible.
Learn or More About Aviation Insurance
If you want to learn more about aviation insurance or get a policy for your aircraft, visit us at BWI Aviation Insurance. We offer insurance solutions to students, new, and experienced pilots, and we pride ourselves on helping you find the best policy at the best price.
Why choose BWI Aviation Insurance?
Over our 42 year history, BWI has built longstanding relationships with all of the above Aviation Insurance Companies. We work hand in hand with the above companies and leverage our experience to find the best market for your particular airplane insurance risk.
To ensure that you are getting the absolute lowest rate and best coverage with a rock solid A+ rated Aviation Insurance company, get a quote with BWI today. We specialize only in Airplane Insurance and our office is open 12 hours a day. Our agents are friendly and knowledgeable, and most importantly they are agents that you can trust to get you the best coverage for your needs. Aviation Insurance is all that we do and have done for 42 years.
Call 800.666.4359 today for a free Airplane Insurance Quote or Click Here to submit a quote request online.
BWI is the Nation’s Leader in Aviation Insurance, with offices based in Corona, CA and Anchorage, AK.
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