Aircraft Insurance

Protection on Cloud Nine

Managing an airline requires a lot of time and money. While your business could be bringing in the big bucks, it is also at risk at all times. Aircraft insurance ensures that your airline is covered for repairs or replacements in case of damage. Here are a few risks related to owning and operating commercial aircraft: 

  • Third-party damages that are incurred due to at-fault collisions with someone else’s property.
  • Injuries or death due to the operation of the plane.
  • Damages due to fire, theft, or vandalism.

In this article

Which Businesses Need Aircraft Insurance? 

The following aircraft are eligible for coverage:  

  • Commercial GA aircraft and fleets
  • Commercial helicopters
  • Very light jets
  • Business aviation
  • Balloons and airships
  • Refuellers and repairers
  • Vintage aircraft and warbirds
  • Flying schools
  • Medical and rescue services

Is Aircraft Insurance Necessary?  

Accidents can happen while up in the air. Malaysia Airlines flight MH370 took off on March 8, 2014, but contact with the plane was lost within an hour. There were no distress calls and there is no evidence as to what happened to the flight and its 239 passengers to this day.    

Aircraft insurance covers your aircraft just as commercial auto insurance covers your company automobiles. Commercial general liability insurance generally excludes any claims that occur due to maintenance or aircraft use, so getting a separate aircraft policy is a smart move for your airline business.  

While most policies provide coverage for damage and losses to the aircraft, some policies also provide third-party liability coverage. Some policies cover injuries and damage to passengers and their property while on the plane. However, your aircraft coverage type and limit depends on the aircraft’s flight paths and the nature of its operation. 

Get your personalized aircraft insurance quote today, customized according to your needs.

What Are the Different Types of Aircraft Insurance? 

Here are a few different types of aircraft coverage that you should know about before you purchase one:  

In-flight insurance  

In-flight insurance protects your airplane against damages that may occur during flight or while in storage. It is an essential investment as aircraft are more susceptible to damage during operation.

Public liability insurance  

Your aircraft could collide with public property during operation. For example, if you have any issues while up in the air, you could end up damaging property such as buildings, cars, or farms while trying to make your landing. Public liability insurance covers you for these damages.    

what does aircraft insurance cover

Aircraft all-risk coverage  

Aircraft all-risk coverage is a blanket coverage that covers any damage to the aircraft when grounded, taxiing, or while in-flight. It is another coverage explicitly tailored to the aviation industry. 

Passenger liability insurance  

More often than not, your aircraft is carrying passengers during flights. Passenger liability insurance is for any passengers who are injured or killed during an accident on your aircraft.   

Ground risk hull insurance  

Ground risk hull insurance covers for events like fire, theft, hangar collapse, or flooding. There are two types of ground risk hull insurance:  

a) Ground Risk Hull Insurance (Non-Motion)  

Ground risk hull insurance (non-motion) covers the above-named perils while it is on the ground and not operating. 

b) Ground Risk Hull Insurance (In Motion) 

 Ground risk hull insurance (in motion) provides coverage for the same perils mentioned above while your aircraft is taxiing.     

how much does aircraft insurance cost

Factors That Affect Your Premium 

Various factors determine the cost of commercial aviation insurance. Some of these factors are listed below:  

  • Cost of the aircraft
  • Size and intended use of craft
  • Frequency of use
  • Claims history

While your aircraft is up in the air, our insurance policies will have you standing firm on the ground, confident that any risks that come your way will not bankrupt your company.  

Get your personalized  aircraft insurance quote today, customized according to your needs. 

Get your personalized aircraft insurance quote today, customized according to your needs.