For owners of aviation business, general liability insurance does not the specific needs of the their business. Choosing the right insurance coverage is very important for any kind of business. For those in aviation business, hangar insurance is a must in case you own hangar and if you are using someone else’s hangar, make sure you have enough coverage.
Insuring hangar provides financial security. In case of any damage caused to aircraft in your care or control, Hangar-keepers liability will provide the liability coverage. The coverage is applicable only when the aircraft is on the ground. Any damage to the aircraft as a result of any natural disaster will not be covered under hangar liability insurance as it is covered under hull insurance. Losses arising due to ‘acts of God’ and theft are covered under aircraft insurance. The Hangar liability coverage depends on the type of aircraft serviced. If small engine aircraft’s are housed then the coverage may be low as compared to big aircraft’s and for big aircraft’s, coverage will be expensive.
Hangar Keepers Liability insurance covers three areas of risks :
- Public liability that will cover the cost for injury or damage to property due to faulty equipment or materials.
- Damage to the airplane or the airplane’s components while they are under the care of a business providing a product or service to the airplane’s owner.
- Damage to airplane or the airplane’s components after you have finished providing service.
It is very essential to consult insurance broker who can help in deciding the specific coverage your hangar needs. Policy will vary with different insurance providers. Review all the alternatives and with the help of insurance broker, carefully choose the policy that maintains your business’s financial position.
