Non-Owner Aircraft Insurance- What It Covers, Who Needs It, and How Much It Costs

Non-owner aircraft insurance protects you when operating an aircraft you don’t own, including rented, borrowed, or club aircraft.

– The deductible (often $5,000–$10,000).

– The cost of lost rental income (loss of use).

– Legal or liability claims for injury or property damage.

The vast majority of flight schools and flying clubs require students and members to carry non-owner coverage, and for good reason.

– The aircraft owner is confident their aircraft is covered.

– The pilot avoids financial exposure.

– The flight school reduces its liability.

A standard non-owner policy includes two main parts:

Protects you from third-party injury or property damage claims.

Includes:

– Injury or death of passengers or people on the ground.

– Property or aircraft damage you cause.

– Legal defense and settlements.

Typical limits:

– $250,000 per occurrence (entry-level).

– $1,000,000 per occurrence / $100,000 per passenger (standard).

– $1,000,000 “smooth” coverage for high-experience pilots.

2. Damage to Non-Owned Aircraft (Hull Coverage)

Covers the airplane itself — including:

– Physical damage while in your care.

– The owner’s deductible.

– Loss of use (rental income loss while the plane is grounded).

Hull coverage can range from $5,000 to $200,000, depending on the aircraft you rent or fly.

3. Optional Add-Ons

Non-owner policies can also include:

– Medical Payments Coverage – covers passenger or personal injury costs.

– Legal Defense Costs – pays for attorney fees separate from policy limits.

– CFI Coverage – protects instructors teaching in non-owned aircraft.

You need a non-owner policy if you:

– Rent aircraft from a flight school, FBO, or flying club.

– Borrow aircraft from another owner or friend.

– Instruct in aircraft you don’t own (CFIs).

– Occasionally fly corporate or company aircraft outside your own policy.

Non-owner policies are surprisingly affordable — typically less than the price of one flight hour per month.

Liability Only | $80 – $120 | Pilots who rent infrequently

Liability + $5,000 Hull | $150 – $200 | Students / training pilots

Liability + $50,000 Hull | $250 – $350 | Private pilots / flying club members

Liability + $100,000 Hull | $400 – $500 | CFIs / frequent renters

Liability + $200,000 Hull | $600 – $900 | Complex or high-value aircraft rentals

1. Pilot Experience

The more hours you have, the lower your rate. Underwriters evaluate:

– Total flight hours.

– Time in make/model.

– Recency (hours in last 12 months).

– Certificates and ratings.

2. Type and Value of Aircraft

Flying newer, complex, or turbine aircraft raises the cost because of higher hull values.

3. Coverage Limits

Higher liability and hull limits increase premiums but provide greater protection.

4. Claims History

Previous insurance claims or FAA violations can raise rates temporarily (3–5 years).

5. Use Type

– Pleasure or business flying – lower risk and lower rates.

– Instruction or commercial use – higher risk and higher premiums.

Example Non-Owner Policy Scenarios

Pilot Profile | Aircraft Type | Coverage | Annual Premium

Student Pilot | Cessna 172 | $250K liability / $5K hull | $180

Private Pilot | Piper Archer | $1M liability / $50K hull | $290

CFI | Cirrus SR20 | $1M liability / $100K hull | $430

Business Pilot | SR22T | $1M smooth / $100K hull | $490

Why Non-Owner Insurance Is Essential

Without a personal policy, you could face serious financial exposure.

Example:

You rent a Cessna 172 for a cross-country flight. During landing, you damage the prop and nose gear. The FBO’s insurance covers the aircraft — but you receive a bill for $7,200 (deductible + loss of use).

A $250 non-owner policy would have covered the full amount.

Since 1977, BWI Aviation Insurance has helped thousands of pilots secure renters and non-owner policies tailored to their needs.

– Access to every major aviation underwriter.

– Fast, same-day coverage.

– Personalized advice on coverage limits and options.

– Dedicated account managers (no call centers).

– Transparent pricing — no hidden fees or upsells.

“They explained coverage clearly and helped me pick the perfect policy for my flight club.” — Student Pilot, Texas

BWI by the Numbers

– 10,000+ pilots insured nationwide

– Nearly 50 years of aviation-only experience

– 800+ verified five-star reviews

– Offices in California and Alaska

– Same-day quotes and certificates

Whether you rent once a month or fly several times a week, non-owner aircraft insurance protects you from the financial risks that come with operating someone else’s airplane.