Unmanned Aerial Vehicles or UAVs, more commonly known as drones, are high-tech devices used for various purposes. The growing popularity of drones has allowed many entrepreneurs to use them to their advantage. This is a relatively new business around the world as many people are still not very knowledgeable about this latest technology. For those who are already in this business, it is very important to insure drones. Seems like a relatively new concept, right? Well yes it is.
It is a very new concept but extremely effective in the coming years. If you have a very successful drone business, in the event of an accident, most of the cost would be saved if you are insured. Getting drone insurance will even help you gain more customers, as some people are reluctant to invest without insurance. With insurance coverage in hand, you’ll have peace of mind knowing you’re covered in the event of any mishap or loss because UAV technology hasn’t taken perfection yet. The first question I get is whether all drones need insurance. The answer is a simple no. Not all drones need insurance. If the drones are used as a hobby or just limited to your home, then there is no need to get any insurance.
Insurance is not currently required in the US for recreational drone use, but in Canada, if you use drones commercially or residentially, you need $100,000 liability to get coverage. Getting insurance helps sell the notion that your business is reputable. To understand everything about drone insurance and liability, we first need to look at some basic questions that people like to ask before getting an insurance policy.
What is drone insurance?
Drone insurance works like any regular insurance policy. You can also relate drone insurance to car insurance. The better your performance and training, the better the policy. You will have to pay less for your insurance if your skills are good. For all pilots who want to become good pilots and handle drones safely, it is always a good option to take out a good insurance policy. This will bring out the best in you if you want to become a skilled and professional drone pilot. Pilots must have operation manuals and maintenance records to make it easier for them to reach the professional standard. Any kind of guidance would be helpful in achieving the desired goals.
Here are some areas where the insurance company would help you get insurance:
– National security
– Firefighters and Rescue
-Real estate
– Traffic Patrol and Accident Assistance
– Emergency Response (FEMA)
– Law Enforcement and SWAT
– Corrects the security of the facilities
– Agriculture
– Maritime and Maritime
-Architecture and Construction
– Exploration of Archeology and Geology
– Parks and Recreational Gardens
– Cinema and Cinematography
– Media and News
What type of loss is covered?
Under this category, all losses that occur with drones for commercial use are covered.
– Legitimate Liability of Third Parties
– Advertising Responsibility
– Personal injuries
– Loss of or damage to the UAV or other related equipment
– Product liability of the manufacturer
– Coverage of aircraft operators and non-pilots working on the ground
– Responsibility of the premises
– Liability of independent contractors
– Co-worker coverage
– Any damage to your rented premises
– Kidnapping, Terrorism or War
– Content of your Property or Office
drone insurance cost
The next most frequently asked question is:
How much does drone insurance usually cost? Drone insurance policies are divided into two parts:
– Responsibility that is the damage or claim to third parties
– Hull damage, which is damage to your own UAV
Different companies treat insurance policies differently. Some companies include hull damage insurance, while others do not. Some companies grant a 333 waiver while others do not. It depends on the company you try to contact for your insurance. Before choosing the best insurance company, you should talk to a few people from different insurance companies to get an idea of the total cost of insurance and what it covers. Once you are satisfied with the company’s guidelines, procedures and policies, you need to make the right choice. Common questions that the company might ask you would be:
– Have you kept a maintenance record?
– Have 50 to 100 hours of flight time been used?
– Do you plan to fly indoors or over water?
– Do you own the drone or have you rented it?
– Are you capable of automatically recording your flight data?
These questions must be answered satisfactorily in order to access the company’s drone insurance policy. Very clear and detailed answers would help you get the insurance you want.
The next step will guide you on how to get insurance so that the steps are followed effectively.
How to get insurance?
To get insurance of your choice, you need to get a quote from different companies. Getting a quote is an easy task by simply visiting the company’s website and clicking the “get quote” button. The website will take you to a form where you will be asked for all the necessary details and then after filling them in, a quote will be returned to you. The most requested information is:
– Your full name and address
– Specific information about your UAV
– The cost of each part of your equipment
– The total time the device has flown
– The place where you would be operating your UAV
– The amount of training you have acquired
– Any other details related to the team and yourself
– Type of coverage, either civil liability or damage to the hull.
Once all these details have been entered, you will be given a quote stating all the cost you would have to pay for the insurance. If you are comfortable with the price and policies, it is best to do so as soon as possible or you may be able to get a quote from another company.
Can you lose your insurance at any time?
People often ask if there are chances of losing insurance and the answer to this question is yes. In certain cases, you will most likely lose your insurance. In case of not registering your flights correctly and not being able to tell what exactly happened during the accident. This could surely mean ambiguity on your part that could end in loss of insurance. Likewise, failure to put the correct serial numbers and identification numbers on your drone could also result in the loss of your insurance. Lastly, not flying ethically and not reporting any maintenance changes can again cost you your insurance. You need to be very careful while dealing with such scenarios. It is best to keep a record of all your flights, the duration, the place where everything should be displayed. If your flights were tracked then there would be enough evidence for you to claim an accident.
How to claim?
You should also be fully aware of how to file a claim in the event of an accident. The claim should be easy to make, but you must first study and understand the insurance company’s guidelines and policies. Company policies will tell you what the company can and cannot actually do. It would be a good approach to first read everything the company has written on paper. Second, you should report it to the proper authorities and refrain from making statements without informing your insurance company. The insurance company may be able to help you if you give them the correct information first. You must not leave the device unattended at any time. You should stay with your equipment in case of an accident. These points should be kept in mind when dealing with an accident.
This guide provides a comprehensive approach to obtaining drone insurance effectively. As stated above, UAVs for commercial use must be insured. It is highly recommended that commercial pilots obtain the desired insurance so that they know they are covered in case of accidents. If you are taking this as a hobby and only restrict your drones to your house, then there is no need to get insurance. Your homeowners insurance would be enough to allow you to enjoy flying drones. We have taken care of all the procedures carried out for contracting the insurance. Each and every detail on how and when you need insurance is provided. It is always best to talk to different companies and see their different policies and procedures. After accumulating quotes from all the companies you’ve been in conversations with, you can always compare their prices and policies.