Whether you own your own aircraft, rent, or you're a CFI flying your flight schools aircraft, you're going to want to make sure you have some level of aviation insurance for yourself.

It's fairly obvious, if you own an aircraft, you're going to need insurance on your investment. Afterall, you have insurance on the other big-ticket items you own, such as your house, car, boat or RV. This is going to cover you in the event you damage your aircraft or someone elses. You also have to think of personal liability issues.

But, if you're renting an airplane from the local flight school, you may be mistaken in thinking you're covered. Odds are, you're not! Most flight schools are going to carry enough insurance to cover THEIR liability and any damage to THEIR aircraft. But, that doesn't cover you as a pilot in the event you damage someone elses property or, God forbid, hurt someone.

Certified flight instructors are also cautioned to take out additional aviation insurance or the same reasons stated above for renters. If you're an independent contractor with the flight school, you're not going to be covered by any of their insurance and being a flight instructor, you can often assume some additional liabilities.

Let's look at what is available for aviation insurance.

The good news is, most pilots who own their own aircraft understand the financial risk they're taking when the fly without insurance. What a lot of owners don't know is exactly how much insurance they should carry. 

Liability Insurance

When it comes to liability insurance, it's a good idea to carry as much as you can possibly. One, even minor, accident can put a huge financial strain on you if you're not carrying enough liability insurance.  The costs add up quickly when something goes wrong.  So, get all you can, but no more. 

Hull insurance

This covers the physical damage to your aircraft so you'll want to make sure your insured value is going to cover the cost to repair or replace your aircraft.  You'll also want to make sure your insurance policy covers the "insured value" and not just the book value. Some insurance policy's don't pay for the recovery of your aircraft in the event you have an off field landing, so look for that in the policy.  If you keep your airplane in a hangar, ask your insurer if there's any sort of discount available.

This is the area where most pilots overlook a serious need.  If you're renting an aircraft from your local FBO, you're going to be asked to sign a renters agreement which will make it very clear that the FBO is only covering themselves with insurance.  That means, you're not covered for liability or damage that may be caused to another aircraft for airport equipment. Even if the damage IS covered by the FBO insurance, odds are, you're still on the hook for the deductible.  That could easily cost you $1000 or more.

Renters insurance basically takes off where the FBO or aircraft owners insurances stops.  That means it will most likely cover the deductible on their insurance policy.  It will also cover you for the hull damange you may be liable for.  Of course, like other items you have insured, it's the liability portion that could save you the most.

Make sure you read your insurance policy closely.  What if you rent an aircraft and use it for a Civil Air Patrol mission?  Will you be covered?  Is there a requirement for time in type?  If so, you better make sure you're fulfilling that part of the policy.

For owned aircraft, your cost is going to depend on a lot of different factors.  You're advised to get numerous quotes and have someone knowledgable about these issues look the policy over.  There are so many factors that contribute to the cost, it's difficult to give a standard rate. 

Things to look for are the number of hours you have as a pilot, the complexity of the aircraft (retractible gear, high performance, etc.), and your flying record.

Renters insurance is a little easier to give costs for because it tends to cover a broader range of pilot experience and it also typically covers whatever the aircraft owners insurance doesn't cover.  You can have basic minimum coverage for less than $100 per year and give yourself the maximum protection for about $250 per year.

Of course, these numbers will differ from company to company, so make sure you take the time to shop around and get some advice.  You'll also want to look at service when you have an insurance claim.  Ask other pilots what their experience has been.  You want an agency that is willing to go the extra mile to service you when you're in need.