Elevating Protection for the Aviation Industry.
An aviation insurance protects an aircraft, flight operations and associated ground support structures from a wide range of risks and potential liabilities, including loss or damage to aircraft, third party liabilities, and costs in case of injury to crew or passengers. Coverage, inclusions, and exclusions may vary depending on the type of aircraft and operation and the type of insurance.
Legal requirement: Aviation insurance is a legal requirement as per the Civil Aviation Authority of Nepal (CAAN) to ensure coverage in case of accidents, damages, or third-party liability claims.
Financial protection against losses: Flight operations involve moving thousands of passengers every single day and are subject to risks. An insurance will protect your business against costs associated with replacement or repairs in case of accidental loss of or damage to the aircraft. It will also allow you to quickly recover your losses and continue your flight operations smoothly.
Protection of crew and passengers: An insurance protects your crew as well as passengers as it will cover all costs related to death or injury to your crew or passengers. An insurance also covers claims arising from loss or damage to passenger baggage.
Coverage for all potential third-party liabilities: Whether you are a small domestic carrier or a large international carrier, protecting yourself against all kinds of claims and legal liabilities is important. An insurance will cover claims arising from third-party liabilities, such as accidental bodily injuries or death and accidental damage to property
This type of aviation insurance provides coverage for damages sustained by the aircraft when it is on the ground and not in motion. So, the insurance provides coverage for damages that can be caused by fire, theft, flood, wind or hailstorms, animals, hangar collapse, and uninsured vehicles or aircraft colliding against the insured aircraft. The amount of payment to be made is usually decided at the time of purchasing the insurance.
This aviation insurance provides coverage for damages that the aircraft may sustain while in motion. However, it excludes any damage that might occur while landing and taking off. This issue led to a lot of disputes between the aircraft owners and insurance companies, which eventually led many insurance companies to discontinue this type of coverage.
In-flight insurance provides coverage for damages that an aircraft may sustain when it is in motion. This is the most expensive aviation insurance as most accidents are likely to occur when the aircraft is in motion.
Passenger Liability Insurance. As the name suggests, this insurance provides payments for injuries and final expenses in the event of death of a passenger travelling in the aircraft. This insurance is usually mandatory by law for commercial or large aircraft.
