Aviation is a world of grand aspirations and limitless skies. You're either a commercial airlines pilot, future flier, or plane owner. A good mind about airplane insurance is the best plan for flying safely and securely. In this final guide, we chart the landscape of airplane insurance, unraveling the terminology and offering street-smart advice for aviation enthusiasts.
Navigating the Skies of Airplane Insurance
Once airborne, insurance is your guardian that protects you, your passengers, and your aircraft from premature challenges. Below is a comprehensive summary of the most essential airplane insurance aspects:
1. Types of Airplane Insurance:
Liability Insurance: It is body damage and property damage coverage your aircraft inflicts upon other individuals. It is mandatory coverage offering protection for the cost of accidents.
Hull Insurance: Covers physical damage of your own plane itself. It is also available in "in-flight" and "not-in-flight" coverage.
Medical Payments Insurance: Covers medical expenses of passengers' injury during flight.
2. Determining factors to Insurance Premium:
Pilot Experience: Flying experience, type ratings, and experience are huge determiners for your insurance premium.
Aircraft Type: Model, make, and worth of your airplane are huge determiners to be considered while determining the premium.
Use: What you will be using the airplane for, i.e., business, pleasure, or commercial, does make a difference to the premium. Location: Where you will be using the airplane has an effect on the risk factor and therefore the premium.
3. Other Considerations:
Deductibles: Deductibles must be included within your policy. Increase the deductible to reduce premiums but make them expensive when one settles on making a claim.
Coverage Limits: Keep your coverage at full aircraft value. Underinsurance will result in financial loss in case of total loss.
Policy Add-Ons: Add-on covers such as avionics coverage, spare parts coverage, and rental reimbursement can be tailored to your need.
4. Choosing the Right Insurance Company:
Reputation: Choose old-established insurance companies with good reputation in offering aviation insurance.
Specialization: Choose the insurers which specialize in aviation insurance so that they understand the special requirements of pilots as well as aircraft owners.
Review of Coverage: Have your policy reviewed from time to time by your insurance agent so that your cover is adequate as circumstances change.
5. Handling Claims
In the event of loss or accident, inform the insurance company immediately and act according to their directions for settling claims. Prepare a thorough record and documentation so that the claims are settled without any delay.
Disclaimer: The article above is for general purposes only and is not the basis for financial or legal guidance. Financial or legal advisers must be approached to give advice on airplane insurance.