Insurance Grumblings

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jnmeade
Posts: 536
Joined: Tue Nov 30, 2010 8:58 am
Location: Iowa

Insurance Grumblings

Postby jnmeade » Thu May 16, 2013 6:07 am

I just got my quote for the 2007 CTSW w/$90k hull, $0 deductible, $5k medical, $1million & $100k.
No claims.
Provided proof of CFI renewal
Provided proof of completion of WINGS phase
Flew over 90 hours, including good hours recently.

The quote went up by 17%.

The policy says that my ELSA can only be flown by me and any other Private or better who has my permission. This although in the application I asked that they insure Sport Pilot or better.

Does anyone else have any recent experience with rates? Did they go up? Down? Level?

I'm going to make some phone calls but in the mean time am a little irked that there was absolutely no discussion by the broker or the carrier as to the points I raised above on the application.

I am an ATP MEL, Comm SEL, SES, Glider, CFI-I/ME/G with over 3200 hours.

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CharlieTango
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Location: Mammoth Lakes, California

Re: Insurance Grumblings

Postby CharlieTango » Thu May 16, 2013 7:54 am

I just renewed.

Old carrier canceled due to cost of composite repair on SLSA.

One quote was up $350

2nd quote ( Chartis ) was same as last policy just over $1,300

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FastEddieB
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Location: Mineral Bluff, GA

Re: Insurance Grumblings

Postby FastEddieB » Thu May 16, 2013 8:00 am

Can't comment on rate increases - mine have stayed the same or gone down slightly every year.

Will comment on the deductible. Why zero? The logic is insurance is for losses you cannot easily handle. If $500 or $1,000 or even $5,000 is in your budget for repairs, why not up your deductible and save some money on premiums year after year?

Of course its a gamble, but many will insure their planes for years and never have a claim, and the deductible will never be a consideration. And the annual savings can be banked to cover an eventual loss if and when it occurs.

Just a thought.
Fast Eddie B.
Sky Arrow 600 E-LSA • N467SA
CFI, CFII, CFIME
FastEddieB@mac.com

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drseti
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Re: Insurance Grumblings

Postby drseti » Thu May 16, 2013 8:20 am

I'm with Eddie. I've always carried $1000 deductible on all my airplanes. I've had two claims over the decades, paid the deductibles, and still come out thousands ahead.

BTW, we have a separate forum just for insurance issues. I'll move this thread there.
The opinions posted are those of one CFI, and do not necessarily represent the FAA or its lawyers.
Prof H Paul Shuch
PhD CFII DPE LSRM-A/GL/WS/PPC iRMT
AvSport LLC, KLHV
fly@AvSport.org
AvSport.org
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dstclair
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Location: Allen, TX

Re: Insurance Grumblings

Postby dstclair » Thu May 16, 2013 8:55 am

It may be that the underwriter simply offered a no deductible policy which is what happened to me at my renewal.
dave

ct4me
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Location: Phoenix, AZ

Re: Insurance Grumblings

Postby ct4me » Thu May 16, 2013 10:55 am

'just renewed with Chartis through A.I.R. - was down $300... but I did lower hull value to $85K.

For the second time, I had to have them modify the policy to use the proper wording... the standard policy wording continually uses the wording "Standard Airworthiness Certificate", as in "there is no coverage in flight unless a standard airworthiness certificate is in full force and effect".

Well, we don't use "standard", we use "special".... so the wording needs to be changed. Last year, they added a "LAD18" endorsement that added wording to include LSAs.
Tim
-----
check out CTFlier.com

jnmeade
Posts: 536
Joined: Tue Nov 30, 2010 8:58 am
Location: Iowa

Re: Insurance Grumblings

Postby jnmeade » Thu May 16, 2013 9:43 pm

You are right - I should question the deductible.

I don't even carry hull on anything else I own - only airplanes. !

Jack Tyler
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Location: Jacksonville, FL

Re: Insurance Grumblings

Postby Jack Tyler » Fri May 17, 2013 7:00 am

What is the premium you were quoted? The increase is high in percentage terms but it's hard to have a perspective on its 'fairness' without knowing the premium amount.

I had the same Q Eddie and Paul did. Definitely do some amount of self-insurance.

I'm wondering if what you saw in your increase is related to the excellent AvWeb story published today (which also was in April's Aviation Consumer) on the higher costs of maintaining and operating LSA a/c? I'll place that link in a new thread in the Light Sport Aircraft forum.
Jack
Flying in/out KBZN, Bozeman MT in a Grumman Tiger
Do you fly for recreational purposes? Please visit http://www.theraf.org

jnmeade
Posts: 536
Joined: Tue Nov 30, 2010 8:58 am
Location: Iowa

Re: Insurance Grumblings

Postby jnmeade » Fri May 17, 2013 9:35 pm

My agent explained that a deductible of $5000 only saved about $20-30. Certainly not worth bothering about. Her explanation was that there were very few "cheap" repairs on airplanes.

The new premium is $1646.

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drseti
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Re: Insurance Grumblings

Postby drseti » Fri May 17, 2013 9:40 pm

Seems very reasonable to me, Jim, considering my policy (1M blanket liability, $85k hull) runs me almost $5k a year. (Of course, that's for commercial use.)
The opinions posted are those of one CFI, and do not necessarily represent the FAA or its lawyers.
Prof H Paul Shuch
PhD CFII DPE LSRM-A/GL/WS/PPC iRMT
AvSport LLC, KLHV
fly@AvSport.org
AvSport.org
facebook.com/SportFlying
SportPilotExaminer.US

newamiga
Posts: 138
Joined: Fri Jun 22, 2012 6:21 pm

Re: Insurance Grumblings

Postby newamiga » Thu Jul 25, 2013 8:17 pm

Interesting I just got a letter from Falcon Insurance (the EAA provider). I haven't the letter yet but my wife did. It appears that they are discontinuing their LSA insurance program. I also heard Avemco recently announced that they would't cover any new LSA policies either. I am kind of curious how much my insurance will go up when I go to renew in October. I am a relatively low time pilot (a little less than 300 hours by renewal time).

Carl
Private Pilot and RV-12 Builder

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FastEddieB
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Joined: Wed Jan 07, 2009 9:33 pm
Location: Mineral Bluff, GA

Re: Insurance Grumblings

Postby FastEddieB » Thu Jul 25, 2013 8:28 pm

Carl,

First I've heard that.

I'm with Falcon and have not gotten the letter.

Will report if and when I do.
Fast Eddie B.
Sky Arrow 600 E-LSA • N467SA
CFI, CFII, CFIME
FastEddieB@mac.com

3Dreaming
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Joined: Sun Jan 10, 2010 6:13 pm
Location: noble, IL USA

Re: Insurance Grumblings

Postby 3Dreaming » Thu Jul 25, 2013 8:35 pm

I have received notices before saying that they may not renew my insurance. This is for avaition insurance in general. First time I got one put me in a panic, so I called my agent. Come to find out that the letter is required to be sent out by law in case something in the coverage is going to change. I my case they always renewed with out any problems. The law may be a state law here in Illinois, I'm not sure

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drseti
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Re: Insurance Grumblings

Postby drseti » Thu Jul 25, 2013 8:48 pm

I'm also with Falcon, and haven't heard a word. I can predict that if Falcon were to stop insuring LSAs, there would be a lot of us not renewing our EAA memberships! (I hope Jack Pelton knows this...)
The opinions posted are those of one CFI, and do not necessarily represent the FAA or its lawyers.
Prof H Paul Shuch
PhD CFII DPE LSRM-A/GL/WS/PPC iRMT
AvSport LLC, KLHV
fly@AvSport.org
AvSport.org
facebook.com/SportFlying
SportPilotExaminer.US

newamiga
Posts: 138
Joined: Fri Jun 22, 2012 6:21 pm

Re: Insurance Grumblings

Postby newamiga » Thu Jul 25, 2013 8:53 pm

Yeah I will see the actual letter tomorrow but it seemed out of left field for me. I just sent a request for quotation from AOPA. I was wondering after I heard about Avemco discontinuing LSA coverage what was up. I guess the timing in flying up to Oshkosh this weekend is good since I should be able to talk to someone from Falcon while up there.

Carl
Private Pilot and RV-12 Builder


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