Frequently Asked Questions
Airplane Insurance FAQ
1. Do I need insurance to fly a private aircraft?
While not federally required in the U.S., aircraft insurance is typically required by lenders (if the aircraft is financed), FBOs, and hangars. Liability coverage is strongly recommended at a minimum.
2. What are the main types of aircraft insurance?
- Liability insurance: Covers bodily injury or property damage you cause to others.
- Hull insurance: Covers physical damage to your aircraft.
- Ground risk (not in motion/in motion): Covers damage while parked or taxiing.
- Non-owned aircraft insurance: Covers you when flying aircraft you don’t own.
3. What does aircraft liability insurance cover?
It covers legal defense costs and payouts if you injure someone or damage property while operating your aircraft.
4. What is hull insurance and do I need it?
Hull insurance covers damage to your own aircraft. It’s essential if your plane has significant value and you want to protect that asset.
5. How is the cost of hull insurance determined?
Based on the agreed hull value (not market value), pilot experience, aircraft type, usage, and claims history.
6. Does pilot experience affect insurance premiums?
Yes — significantly. More hours, especially in type or complex aircraft, usually mean lower premiums.
7. What are common training or currency requirements?
Insurers may require:
- Recency of flight (e.g., 3 takeoffs/landings in 90 days)
- Annual or biannual training
- Simulator or type-specific courses (e.g., Cirrus Transition Course)
8. What if I let someone else fly my airplane?
They must be listed on your policy or meet the “Open Pilot Warranty” requirements (minimum hours, ratings, etc.), or coverage may be void.
9. Is coverage affected if I fly in weather (e.g., icing, IMC)?
Yes — policies may exclude flight into known icing unless specific training (like Cirrus Icing Awareness) is completed. Always read policy exclusions.
10. Are experimental or homebuilt aircraft insurable?
Yes, but they often have higher premiums and stricter underwriting. Some insurers specialize in this category.
11. Can I insure my aircraft for more than it’s worth?
No — insurers use agreed value policies, and over-insuring can raise red flags or result in denied claims.
12. What happens in the event of a total loss?
You are paid the agreed hull value listed in your policy, assuming you were in compliance with its terms.
13. Do I need insurance if my aircraft is in storage or not flying?
Yes — at minimum, ground risk and liability insurance are advisable. Theft, weather damage, or hangar incidents can still occur.
14. Can I fly internationally with my insurance policy?
Maybe — check your policy. Many are limited to U.S., Canada, and Mexico unless you add a rider for international operations.
15. How do I shop for aircraft insurance?
Use an aviation-specific insurance broker (not a general agent). They’ll shop multiple underwriters and guide you through requirements, coverage options, and cost-saving strategies.