Purchase question.

If the deal isn’t done, I agree with the recommendation to hire a CFI and go get the plane. I was lucky enough to find a ferry pilot that was experienced in my type of plane that was also a CFI. I hired him to go with me for the flight home and to serve as my CFI for my transition training.

I got the fun of a long cross country trip along with 8 of my 10-hours of required transition training. I could have just had him ferry the plane, and saved my travel costs, but I’d have missed the fun of bringing the plane home, and would have spent the 10-hours of transition training mostly in the local pattern.

My ferry pilot / CFI told me enough stories about adventures he’d had ferrying planes with ‘fresh annuals’ over the years, that I’m convinced that getting a fresh annual from the seller included with a purchase is not likely to mean much, and could be a big warning flag of lack of proper maintenance in the past. I’d be very reluctant to have the shop that had been doing the annuals do my pre-buy.

I had pre-buys performed by people that were very experienced doing pre-buys on the type of planes I bought for both of my purchases. Both pre-buys were a small portion of the total purchase cost and great investments in my opinion. Both identified issues that the prior owner wasn’t aware of from the annuals they had done in the past. In both cases the issues found on the pre-buy shaved more off the purchase price than I paid for the pre-buy and I’ve never had a surprise with either plane while I owned them.

I’ve been doing owner assisted annuals since the first annual on my first plane. I feel like I have a good idea of what I’m looking at on both types but I’d still want someone that specializes on pre-buys for that type of plane involved before buying a plane.

Someone that does frequent pre-buys on a specific type of plane is likely to spot issues that people that don’t do that work would be likely to miss. There are some skills that doing the same type of job over and over give you that can’t be learned any other way. I know a lot about my plane now but I don’t know what I don’t know.
 
Have you checked on insurance? You may need specific training and some amount of time with an instructor before you can be covered.
Can a plane be flown without insurance?
 
Define legal...there are no FARs requiring insurance. Your loan originator has a different take on things which is why the insurance and finance folks drive so much that happens in aviation.
 
Define legal...there are no FARs requiring insurance. Your loan originator has a different take on things which is why the insurance and finance folks drive so much that happens in aviation.
Legal as accordance with any laws.
 
Is it legal to fly it without insurance?
Yes and no. In terms of GA, there is no FAR requiring liability insurance but there are maybe about a dozen states which do.

Aside from formal legal requirements, some airports require insurance from based aircraft (quasi-legal), as do some organizations you might want to fly for. Banks with a security interest want at a minimum hull coverage and may want liability as well.
 
Wow.

I bought my airplane with a handshake, wrote a personal check, and flew it home.

I guess I got off easy.

My friend bought his planes with bags of cash. Literally, called the bank a few days ahead of time so they would know to have enough on hand. He always says, "you're going to buy something, bring hundreds, unless the seller is an ass, then bring twenties."

I was with him on the first purchase. Even with the hundreds, it took the seller longer to count it than it did for us to pre-flight the plane and load the lawnmower tug in the truck.
 
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Source, General Aviation — Observations Related to Liability Insurance Requirements and Coverage for Aircraft Owners. GAO Report to Congressional Requesters September 2015

Here's part of the Minnesota statute as an example:

Certificate of insurance.

(a) Every owner of aircraft in this state when applying for registration, reregistration, or transfer of ownership shall supply any information the commissioner reasonably requires to determine that the aircraft during the period of its contemplated operation is covered by an insurance policy with limits of not less than $100,000 per passenger seat liability both for passenger bodily injury or death and for property damage; not less than $100,000 for bodily injury or death to each nonpassenger in any one accident; and not less than $300,000 per occurrence for bodily injury or death to nonpassengers in any one accident. The insurance must comply with section 60A.081, unless that section is inapplicable under section 60A.081, subdivision 3.​
 
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