Aviation insurance is a specialized field of insurance that covers risks related to aircraft operation and the aviation industry. It combines the technical aspects of aviation with international insurance rules.
In short, its goal is to protect companies and individuals from financial losses resulting from aircraft accidents or their legal liabilities to third parties.
Hull Insurance
Coverage: Loss or damage to the aircraft itself (in flight, on the ground, or during transport).
Subtypes:
Hull All Risks (Ground and Flight):
Covers all risks in flight and on the ground.
Hull Ground Only: Covers accidents while the aircraft is stationary or stored.
Hull Not in Motion: Covers the aircraft when it is completely stationary and not in motion.
Third Party Liability Insurance
Coverage: Compensation for bodily or material damage to third parties (persons or property) resulting from the operation of the aircraft.
Does not cover: Damage to passengers or crew (a separate policy applies).
Passenger Liability Insurance
Coverage: Compensation for injury or death to passengers during a flight, often in accordance with the Warsaw or Montreal Conventions.
Cargo & Mail Liability Insurance
Coverage: Loss or damage to cargo or mail during air transport.
Product Liability Insurance
Coverage: For manufacturers or maintenance companies in the event that spare parts or services provided cause an accident.
Crew Personal Accident Insurance
Coverage: Financial compensation for the families of pilots and crew members in the event of death or injury while on duty.
Refueling Liability Insurance
Coverage: Liability arising from errors or accidents during aircraft refueling (such as contamination, spillage, or the supply of non-compliant fuel).
War and Allied Perils Insurance
Coverage: Events not covered by regular policies, such as war, piracy, terrorism, unlawful seizure, and sabotage.