Most people have insurance for both their houses and cars. Planes, on the other hand, can also require insurance for accidents. Since they are much bigger than cars, they can cause far more damage. Having the right aircraft insurance is important to protect yourself from such scenarios.
Understanding Aviation Insurance Policies
It’s hard to get comprehensive insurance coverage for all aspects of aviation, unlike car insurance. Many companies provide varying policies for different types of planes, such as those that are flying overseas. Some providers provide multiple insurance packages for private jet charter companies like Stratos Jet Charters.
Private Aircraft Insurance: Inside and Outside of the Plane
In aviation, various individuals and entities need insurance coverage. These include the passengers, crew members, cargo, and ground personnel of planes. In addition to these, there are also other areas, such as the hangars, flight controllers, and more. In the event of emergency landings or accidents, aviation insurance covers the damages that a plane can cause to various non-physical objects, such as communication channels, software, and equipment.
Basic Aviation Insurance Types for Protection
There are five different types of aircraft insurance policies. These are typically taken out in combination or individually.
1. Public Liability Insurance
This type of insurance covers the damage that a plane can do to various areas, such as airports and ground support equipment. But, it does not cover the plane itself. This means that people may refer to this type of insurance as third-party liability.
2. Passenger Liability Insurance
This type of insurance is usually only required for commercial aircraft, as not every plane that flies has passengers. Usually, this type of insurance is combined with another type of insurance, known as a combined single limit (CSL). This type of insurance provides comprehensive coverage for various types of claims, such as those involving the cargo of a plane.
The cost of aviation insurance can be high. Fortunately, there are some ways to lower your aviation insurance premiums, such as by bundling different policy types. Since third-party property and passengers are already covered under the first three types of insurance, what about the plane?
3. Ground Risk Hull Aircraft Insurance (Not in Motion)
Depending on the situation, a plane can be in three scenarios: flying, rolling on the ground or standing on the ground. This type of insurance provides financial protection for the plane when it is stationary and does not appear to be capable of self-inflicted damage. Similar to other types of insurance, this type of coverage is also designed to cover the damages caused by natural disasters and other types of disasters.
4. In Motion Ground Risk Hull Insurance
Even though planes are generally gentle on the ground, they can still cause minor or major accidents if they are not appropriately parked or if they are accidentally towed. This type of insurance can provide financial protection for the plane if it gets damaged due to an accident. Although the name of this type of insurance implies that it is for the hull, this coverage also provides financial protection for the entire plane.
5. In-Flight Insurance
In-flight insurance is a more practical and more expensive type of insurance than the other types. It covers the damage that a plane might do in flight, as well as the damage that it might do in other situations, like on the ground.
Obtaining Affordable Insurance
A factor that you should consider when it comes to purchasing aviation insurance is the amount of money that it will cost you. It will depend on the type of policy that you will get and how much coverage it will provide. Before you start shopping for insurance, it is important that you thoroughly research the requirements of the government and the policies that apply to your aircraft.
After all of this, it is time to start looking for an aircraft insurance company that can provide you with the best possible service. They can help you navigate through the various options and provide you with the lowest possible prices.
Final Thoughts
Besides these basic types of insurance, aviation insurance companies also provide various other types of insurance to private and commercial aircraft owners. These include different types of liability insurance, as well as multiple special policies for airports, hangars, avionics, and ground support equipment. If you are looking for the best possible insurance for your aircraft, contact an aviation insurance broker.