INSURANCE

 

The most important thing to know about Aviation Insurance is that it is NOT like any other insurance you have ever had.

Contrary to popular opinion the Insurance Company does not look for loop holes not to pay

Another thing is that insurance premiums are a real bargain. In 1977 a Cessna sold for $27,000 which is today's 130,000 Liability for One Million Combined Single Limit Bodily Injury and Property Damage Including Passengers was $600 It is still $600 today. In 1969 a brand new Bonanza cost $25,000 and the physical damage premium was $1,000. Now it costs 40 times as much and the physical damage premium is only $2,500.

Labor on aircraft maintenance ranges around $95 an hour and parts are even more expensive but Aviation Insurance on small aircraft has been steady over the last ten years. Premiums on Heavy Iron (Jets, etc.) have gone down.