Understanding Pilot Warranties

by Gregory Reba, CPCU of Reba Aviation Insurance LLC ( 13-Apr-2012 )

 

Understanding Pilot Warranties

Gregory Reba, CPCU, CFII

 

One of the most important sections of your aircraft insurance policy is the pilot warranty. These can range from simple one line statements to complex paragraphs. Understanding it before flying, or allowing someone else to operate your aircraft, is essential. Why? Because the pilot flying must comply with the terms of the warranty or coverage can be denied.

 

Many warranties start with a section that states the pilot must have a valid and current medical and pilot certificate appropriate for the flight to be conducted. This can include current BFR, flight review and Instrument proficiency.

 

Warranties can be for Named Pilots only, Open Pilot warranties, or a combination of both.  A Named Pilot only warranty is just that. The only persons approved to fly the aircraft are the pilots listed on the policy. An Open Pilot Warranty is one that spells out the pilot experience requirements for there to be coverage. The more complex the aircraft is will require greater experience levels.  Let take two examples.

 

 Here’s a combined warranty for a Cessna 182:
John Doe holding Private pilot warranty. Or,

 

Any pilot with a private or more advanced certificate having logged 300 hours, with 10 hours in the make and model insured.

 

In this example, John Doe doesn’t need to have 300 hours and 10 hours in the C-182 because the insurance company has listed him as approved. oH    Any other pilot operating the aircraft will need to meet the minimum total hours and have logged 10 hours in the C-182 already. If the pilot doesn’t meet these requirements you need to check with the broker to find out what additional training is need to be named as an approved pilot.

 

The next example is for a turboprop:

 

Joe Doe holding a Commercial certificate with multi-engine and instrument rating.  or

 

Any Commercial or more advanced pilot, AMEL and Instrument rated, 3,000 total logged hours, with 1,000 hours logged AMEL time, 500 hours in turboprop aircraft, and 100 hours in the make and model insured.

 

All Pilots must have completed a simulator based training program approved by the underwriters for the make and model insured within 12 months of the flight intended.

 

 In addition to the certificates, ratings and minimum hour requirements, there also is an annual training requirement. The pilots must comply with the initial or recurrent training every 12 months in this case. You should always check to make sure the training facility you are using are approved by your insurance company. If you can’t make it back to school within the 12 month window, contact the broker and request an extension of time. Most underwriters will agree to short extension due to scheduling issues.

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