Insurance rate shocker

Its my understanding the financed crowd is obligated to carry insurance? For that matter, Ive always found their use of the term ownership a bit dissonant anyways, but I digress.
 
hindsight2020 said:
Its my understanding the financed crowd is obligated to carry insurance? For that matter, Ive always found their use of the term ownership a bit dissonant anyways, but I digress.
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Yes, the lienholder generally requires you to protect their interests, but that's part of the deal when you use someone else's money.
 
MauleSkinner said:
Only if “we all” have airplanes for which we choose to purchase hull coverage from the company that he purchases his hull coverage from.
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I don't know about other companies, but my insurance company(USAIG) does not actually do the insurance part. They're just a pass-through for 4 other companies(Reinsurers) that they specify in my policy. So if any of those 4 do insurance for other aircraft insurance companies, then incidents will impact everyone.

I don't know if there are other 'top level' Aircraft insurers who do it that way though.
 
chartbundle said:
I don't know about other companies, but my insurance company(USAIG) does not actually do the insurance part. They're just a pass-through for 4 other companies(Reinsurers) that they specify in my policy. So if any of those 4 do insurance for other aircraft insurance companies, then incidents will impact everyone.

I don't know if there are other 'top level' Aircraft insurers who do it that way though.
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You purchase insurance from one of those insurance companies through USAIG. Anyone else who has insurance through the same one of the four will be paying for that claim. People who hold policies through the other three shouldn’t be.
 
MauleSkinner said:
You purchase insurance from one of those insurance companies through USAIG. Anyone else who has insurance through the same one of the four will be paying for that claim. People who hold policies through the other three shouldn’t be.
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No, they each have a proportion of the policy 'The Liability of the companies identified below is several.' (33.33% 16.67% 33.33% and 16.67%).
 
chartbundle said:
No, they each have a proportion of the policy 'The Liability of the companies identified below is several.' (33.33% 16.67% 33.33% and 16.67%).
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Which, then, goes back to the way insurance started...underwriter A is underwriting 33.33%, underwriter B is underwriting 16.67%, etc., so no one company goes out of business because of a bad year.

And of course, as you stated, the customers of those underwriters are actually footing that portion of the bill.
 
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FastEddieB said:
Well, I just spoke with a friend in the Cirrus instructing world. He said that this year the insurance rate for his company tripled! He said that over $100 of each rental dollar goes to insurance.

He said his broker explained that it’s not like each class of aircraft has its own “pool”. All aircraft are lumped together. As such, the insurance industry has had huge losses recently, and that’s why rates are going up across the board. Caveat: this is at least third-hand information, so take it with a grain of salt.
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FastEddieB said:
Well, I just spoke with a friend in the Cirrus instructing world. He said that this year the insurance rate for his company tripled! He said that over $100 of each rental dollar goes to insurance.

He said his broker explained that it’s not like each class of aircraft has its own “pool”. All aircraft are lumped together. As such, the insurance industry has had huge losses recently, and that’s why rates are going up across the board. Caveat: this is at least third-hand information, so take it with a grain of salt.
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Maybe if their training Planes fly 50 hours a year.
 
I self insure my cars, just have the insurance the government forces me to buy (everyone is entitled these days lol), I did the math on what I saved vs the minor damage I’ve done over the years (like one bumping something beneath my bumper while parking but), I could burn my truck to the ground, eat the loss and buy a new truck and be the same as if I had full boat insurance all these years.

I don’t fully insure much as I just can’t afford the risk of not getting enough major loss crashes :dunno:
 
Mine went up 12% for a 91 AG5B Tiger. No claims, additional hours, etc. I’ve heard much the same story - excessive claims, investments not doing as well, and fat cat insurance executives wanting larger bonuses. SOS.
 
Just received my third lawsuit for the fatal accident that happened in my aircraft a year ago...had a 20% renewal increase but expect insurability will be an issue at the next renewal as policy limit reserves are expected. Litigation cost with multiple suits and in various jurisdictions also going to be astronomical in the end.
 
Warlock said:
Just received my third lawsuit for the fatal accident that happened in my aircraft a year ago...had a 20% renewal increase but expect insurability will be an issue at the next renewal as policy limit reserves are expected. Litigation cost with multiple suits and in various jurisdictions also going to be astronomical in the end.
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Not to be flippant, but talk about the false economy of 'cost-sharing' in airplane ownership...
 
Probably deserves its own post but if your a Renter or Borrower of an Aircraft and you decide to leave this earth in someone's Aircraft, other than your own make sure you have renters insurance...no joke...the estate and thus the widow and other children have very little in assets and no paid legal representation. Just the cruel hard facts of Aviation policies...just because you meet the open clause or have permission does not create a liability transfer on the Aircraft insurance inplace.
 
BigBadLou said:
Insurance is socialism. You pay for others. The more others spend, the more it costs you.
If others make more mistakes, it costs you more.
If others maliciously prang their airplanes (so that they don't have to pay for engine rebuild), it costs you more.
Just like car insurance. Cost always goes up, can't go down.
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Make sure you get the best possible value out of your insurance policy. Crash your plane! :rolleyes:
 
Warlock said:
Probably deserves its own post but if your a Renter or Borrower of an Aircraft and you decide to leave this earth in someone's Aircraft, other than your own make sure you have renters insurance...no joke...the estate and thus the widow and other children have very little in assets and no paid legal representation. Just the cruel hard facts of Aviation policies...just because you meet the open clause or have permission does not create a liability transfer on the Aircraft insurance inplace.
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I'd be interested in that post if you made the time.

Did the widow's attorney, while working on contingency, not accept the immediate payout offer from insurance? Or are there numerous parties and the pie has shrunk for everyone?

Just curious. I've been in too many of 'these sorta things' and usually the attorney sniffs around, sees who the pockets are, and takes the million and scrams instead of having the million spent defending against him.
 
schmookeeg said:
I'd be interested in that post if you made the time.

Did the widow's attorney, while working on contingency, not accept the immediate payout offer from insurance? Or are there numerous parties and the pie has shrunk for everyone?

Just curious. I've been in too many of 'these sorta things' and usually the attorney sniffs around, sees who the pockets are, and takes the million and scrams instead of having the million spent defending against him.
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Wrongful death has been settled...not that I did anything wrong...his estate is being sued in at least three suits along with me the flying club and others from FBO’s and Radio manufacturers...Garmin...Et Al. Child had been kidnapped six weeks earlier and pilot flew my Arrow into a 2000ft transmission tower. Pilot was an ATP who worked for the FAA. Only after the fact did we know he was wanted by authorities...he was still employed when the accident occurred.
 
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