Why Aviation Insurance Matters

An aircraft is one of the highest-value assets any individual or corporation can own, and the liability exposure associated with aviation operations is substantial. A single incident can result in claims worth tens or hundreds of millions of dollars. Adequate insurance coverage is not optional — it is the fundamental risk management tool that protects your financial well-being as an aircraft owner.

Aviation insurance is a niche market served by a relatively small number of specialized underwriters. Unlike auto or homeowner's insurance, where competition drives commoditized pricing, aviation insurance pricing depends heavily on the specific risk profile of the aircraft, its operations, and its crew. The way a policy is structured, the underwriter selected, and the broker representing your interests can make a significant difference in both coverage quality and premium cost.

Plane Selection works with leading aviation insurance brokers and underwriters worldwide to ensure our managed aircraft have optimal coverage at the best available rates. Our fleet purchasing power, safety track record, and professional management reputation translate directly into premium savings that individual owners typically cannot achieve on their own.

Insurance Types

Hull All-Risk Insurance

Hull all-risk coverage protects against physical damage to your aircraft from any cause — ground incidents, in-flight events, weather damage, hangar incidents, and more. Key considerations include:

• Agreed value: We ensure your aircraft is insured for its current fair market value, updated annually or more frequently as market conditions change
• Deductible structure: We negotiate appropriate deductible levels that balance premium cost with out-of-pocket exposure
• In-motion vs. not-in-motion: Coverage typically distinguishes between damage occurring while the aircraft is in operation (taxiing, takeoff, flight, landing) and while it is stationary (parked, hangared). We ensure appropriate coverage for both scenarios
• Geographic scope: Hull coverage must be adequate for all areas where your aircraft operates. For aircraft traveling internationally, this requires careful attention to territorial limits and any war-risk exclusion zones

Aircraft Liability Insurance

Liability coverage protects you against third-party claims arising from aircraft operations. This is the most critical component of any aviation insurance program:

• Bodily injury liability: Coverage for injury or death of passengers and third parties on the ground
• Property damage liability: Coverage for damage to third-party property caused by aircraft operations
• Combined single limit (CSL): We recommend adequate CSL limits based on aircraft type, passenger capacity, and operations profile — typically $100 million or more for large-cabin aircraft
• Smooth limit vs. sublimited: We prefer smooth CSL policies that provide the full limit for any single occurrence, rather than sublimited policies that cap individual components

Crew Insurance

Crew members require specific insurance coverage beyond standard liability protection:

• Workers' compensation: Required by law in most jurisdictions, covering crew for work-related injuries and illnesses
• Employer's liability: Protecting the aircraft owner against crew claims that exceed workers' compensation limits
• Loss of license: Specialized coverage that provides income protection to pilots who lose their medical certificate due to injury or illness
• Non-owned aircraft coverage: Protecting crew when operating rental or borrowed aircraft for training or repositioning

Passenger Liability and Voluntary Settlement

Beyond standard liability coverage, we recommend Admitted Liability / Voluntary Settlement coverage for passengers:

• Provides immediate payment to passengers (or their estates) in the event of an accident, regardless of fault determination
• Reduces litigation risk and accelerates resolution of passenger claims
• Demonstrates the owner's commitment to passenger welfare
• Coverage limits are typically set per passenger based on the aircraft's MTOW and passenger configuration

Hangar Keeper's Liability

If your aircraft is stored in a hangar that also houses other aircraft (shared hangar facilities), hangar keeper's liability coverage protects against claims arising from damage to other aircraft or property within the hangar facility. This coverage is particularly important for aircraft based at busy FBOs where multiple aircraft share hangar space.

War Risk and Allied Perils

Standard aviation policies exclude losses caused by war, terrorism, hijacking, and related perils. For aircraft operating internationally — particularly in regions with elevated geopolitical risk — separate war risk coverage is essential:

• Hull war risk coverage for physical damage from war and allied perils
• Liability war risk coverage for third-party claims arising from war perils
• TRIA (Terrorism Risk Insurance Act) considerations for US-based operations
• Confiscation and expropriation coverage for operations in higher-risk jurisdictions

Negotiated Rates and Fleet Savings

One of the most tangible benefits of professional aircraft management is the insurance premium savings achieved through fleet buying power and our established relationships with leading underwriters. Plane Selection's managed fleet represents a significant portfolio for aviation insurers, and our track record of safety and professionalism allows us to negotiate preferential terms:

• Fleet discount: Our managed fleet qualifies for fleet pricing that reduces per-aircraft premiums by 10-15% compared to individual owner policies
• Safety record credit: Our ARGUS rating, pilot qualification standards, and safety management system earn additional premium credits from underwriters who recognize reduced risk
• Multi-year arrangements: Where market conditions permit, we negotiate multi-year rate locks that protect owners from market hardening
• Competitive marketing: At each renewal, we market your risk to multiple underwriters to ensure competitive pricing, rather than passively renewing with the incumbent

The average aircraft owner under Plane Selection management saves 10-15% on insurance premiums compared to standalone policies — a savings that can amount to $15,000-$50,000 or more annually depending on aircraft type and value.

Claims Management

When incidents occur, effective claims management is critical to achieving a fair and timely resolution. Plane Selection's claims management process includes:

• Immediate incident response: Our 24/7 operations center initiates the claims process immediately following any reportable event, preserving evidence and complying with policy notification requirements
• Documentation: We compile comprehensive incident documentation including crew reports, photographs, ATC recordings, maintenance records, and witness statements
• Adjuster coordination: We work directly with insurance adjusters to ensure accurate damage assessment and fair valuation
• Repair oversight: For repairable damage, we coordinate repairs through our MRO network and ensure work meets both manufacturer and underwriter standards
• Total loss management: In the unfortunate event of a total loss, we advocate for maximum settlement based on the aircraft's agreed value and pre-loss condition
• Subrogation: Where appropriate, we pursue recovery from responsible third parties to minimize the impact on your claims history

Annual Policy Review

Aviation insurance markets are cyclical, and policy terms that were competitive last year may not be optimal this year. We conduct comprehensive annual policy reviews for every managed aircraft:

• Review of coverage adequacy based on current aircraft value and operations
• Assessment of market conditions and pricing trends
• Evaluation of policy terms, conditions, and exclusions
• Comparison of multiple underwriter proposals
• Recommendations for coverage adjustments based on changes in your operations or risk profile

Leading Underwriters

Plane Selection works with the world's leading aviation insurance markets, including:

• Lloyd's of London aviation syndicates
• Global Aerospace Underwriting Managers (GAUM)
• AIG Aviation
• Allianz Global Corporate & Specialty (AGCS)
• Starr Aviation
• USAIG (United States Aircraft Insurance Group)
• La Reunion Aerienne

Our relationships with these markets, developed over more than two decades, ensure that our managed aircraft receive priority attention, competitive pricing, and favorable terms even in hardening market conditions.