does commercial rating helps with insurance rates?

blueskyMD

blueskyMD

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Many years ago when I bought the Arrow with only 90 hours of total time ( right after finishing training ) I paid quite high insurance close to 2600 with hull coverage of 50k. I was told to get instrument ratings which I finished the next year. The insurance went down dramatically to 1500 only. Anyway for a while I have been thinking about getting commercial ratings. I have pretty much all the requirements done except actual written and some time with CFI. I bought commercial course twice and never went past first 10 pages , I guess I have no motivation now. If ratings decrease insurance rates I might try harder this time.
 
I think Avemco might give you a few points off. But I can also see rates going up since you could be considered a "pro" with more exposure. Quick call to your agent would answer your question.

That said, more training for precision flying is just good.
 
Why would your insurance go up if it isn't commercial coverage?


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Like said above, call your agent. My memory of shopping around is it doesnt make very much difference. Instrument as you know does. People flying around in clouds who don't know how to to do it is way up there on causes of accidents, especially fatal ones, so that makes sense.
 
gsengle said:
Why would your insurance go up if it isn't commercial coverage?


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Does insurance pricing have to make sense?
 
paflyer said:
Does insurance pricing have to make sense?
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True. And then shop around for mor rational companies. But if they are excluding commercial activities, having the commercial cert should lower their risk...


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blueskyMD said:
Many years ago when I bought the Arrow with only 90 hours of total time ( right after finishing training ) I paid quite high insurance close to 2600 with hull coverage of 50k.
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I would have thought that an Arrow with only 90 hours tt would need more than $50k hull coverage.
 
The Companies view a commercial licensed pilot as a more desirable risk and this will typically equal a lower rate. After you get the license, make sure to provide the update to your agent just prior to renewal so it is taken into consideration by the Underwriter.

Tim Wanasek
Falcon Insurance Agency
 
Not much of a diffrence for CPL, for ATP it was a even smaller change.
 
luvflyin said:
Like said above, call your agent. My memory of shopping around is it doesnt make very much difference. Instrument as you know does. People flying around in clouds who don't know how to to do it is way up there on causes of accidents, especially fatal ones, so that makes sense.
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After my IFR rating my rate went from $1200/yr to $1199/yr.
 
DesertNomad said:
After my IFR rating my rate went from $1200/yr to $1199/yr.
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Yikes! Did you ask to see all market responses?
If not, I would suggest you do for your next renewal. Any additional licensing or ratings should equal a lower rate...and not $1. Push the issue with your agent.
 
Tim Wanasek said:
Yikes! Did you ask to see all market responses?
If not, I would suggest you do for your next renewal. Any additional licensing or ratings should equal a lower rate...and not $1. Push the issue with your agent.
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Yup. My agent called all sorts of others but the company I was with was the best deal and they said my rate was already below market. 420 TT and 250 in my Dakota.
 
mtuomi said:
Sounds expensive for a HP non-complex with 250 on type?
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Yeah, but people pay crazy money for a 235HP taper wing warrior, so you're probably looking at a huge hull value portion to that policy. That'd be my guess anyways.
 
hindsight2020 said:
Yeah, but people pay crazy money for a 235HP taper wing warrior, so you're probably looking at a huge hull value portion to that policy. That'd be my guess anyways.
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$135K hull. Of the 6 Dakota on Controller right now, the average asking price is $115K.
 
Tim Wanasek said:
Yikes! Did you ask to see all market responses?
If not, I would suggest you do for your next renewal. Any additional licensing or ratings should equal a lower rate...and not $1. Push the issue with your agent.
Click to expand...
Avemco discount is 5%.

Big whoop.
 
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