Insurance is all about risk reduction, whether you’re insuring a home, auto, boat, business, or an aircraft. So it should come as no surprise that “risk” factors into the price of your insurance coverage. When it comes to insurance, lower risk often means lower rates.
If you’re a pilot or aircraft owner looking to reduce your aviation insurance rates, here are seven ways you may be able to lower your insurance rates without compromising your coverage.
1. Keep Training
Most insurance companies require pilots of multi-engine and high performance aircraft to obtain annual recurrent training in order to maintain insurance coverage. But even if you’re not required to do so, regularly participating in flight training can help lower the risk of an accident or incident.
And lowered risk often equates to lower rates.
Before you commit to a training program, speak with your aviation insurance provider. Some insurance providers may only accept certain pre-approved training companies, and in some instances, participation in a highly respected training facility such as Flight Safety International may result in better rates
2. Add Ratings
Have you been considering an instrument-airplane rating so you can operate an aircraft when visual cues are obscured by darkness, weather, or clouds? Whether you’re interested in flying by sole reference to the instruments in your flight deck, or want to operate a seaplane, helicopter, or twin engine aircraft, additional ratings are often worth the time and training requirements. Not only can they expand your career opportunities, they can also lower your insurance rates.
3. Increase Your Flight Time
Total flight hours has long been considered an aviation risk factor because it indicates a pilot’s experience. Which is why logged flight experience is often considered when determining your insurance rates. (One study found that having 5,000 hours or more of total flight time could reduce a pilot’s crash risk by more than 50%.) In many cases, the more hours you fly, the lower your insurance rates will be. If you’re new to the flight game, keep logging those hours and you may reap the benefits of lower rates.
4. Join a Flying Club or Association
Flying clubs and trade associations are often able to qualify for discounts and rate deals. Most flying clubs charge a membership fee to join and monthly dues, and in return you get access to the club’s fleet of aircraft. Clubs and associations are often attractive to both aircraft owners and pilots of all experience levels, and the lowered insurance rates may be one reason why.
5. Hang it Up
Storing your aircraft in a hanger can help reduce your overall cost of flying. Not only can you typically get reduced insurance premiums for parking your airplane in an enclosed hangar, you may also lower maintenance costs by reducing wear and tear while reducing the risk of damage or theft, as well.
6. Fly Safely
The best way to lower your insurance rates is to remain claim-free. Many aviation insurance providers will offer a discount for maintaining a claim-free status for a certain amount of time. Fly safely and avoid aviation risks such as flying fatigued, distracted, or impaired. Your safe flying record can pay off with lower premium rates.
7. Talk to Your Insurance Provider
Looking for more ways to lower your aviation insurance rates? Talk to your insurance provider. Some of the factors that determine your rates may change, such as your total flight hours or the aircraft make and model. Always keep your insurance professional in the loop, and you can be sure you’re getting the right amount of coverage without paying too much for it.