Lowering Your Aviation Insurance Premium

"How can I get the best rate on my insurance?"insurance rates are structured accordingly. This is
This is one of the most common questions in thewhy transitioning pilots should work with their
insurance business. Everyone wants the bestinsurance agent to design a transition training program
coverage at the lowest rate, so here are some tipsthat may include simulator, ground and flight training.
that may help you lower your premium at your nextWhen you transition to a more advanced aircraft,
renewal.understand that the first year of insurance may be
ANNUAL TRAININGmore costly, but if you commit to an aggressive
Annual recurrent training is often required for highertraining and time-building program your renewal rate
coverage limits, pressurized or turbine-poweredcould drop substantially. If your agent is unwilling or
aircraft. Even if it isn't required, some underwriters willunable to help you make and meet training goals, you
offer lower rates or better coverage for pilots whoshould consider working with one that is.
take this training. Ideally, recurrent training consists ofCOMMERCIAL AIRCRAFT
a manufacturer-recommended simulator program. ForCommercial and corporate aviation faces a different
some piston aircraft, in-aircraft training programs maychallenge. Corporate turbine pilots usually have the
be approved. This is usually the only choice whenappropriate certificates, ratings and hours, but
manufacturer-recommended programs are notrequired recurrent training is much more expensive.
available. This training can include the FAA PilotYour choice of initial or recurrent training facilities
Proficiency Program (WINGS) requirements, whichaffects your insurance premium and your overall cost
we highly recommend. Underwriters also favorof ownership. Well-known, full-motion simulator
current, proficient pilots. Be sure you have logged attraining centers are accepted by virtually all the
least 20 flight hours in the last 12 months, or youunderwriting companies. There are also lower-cost
may be required to get additional training.alternative training programs, but not all underwriting
ASSOCIATION MEMBERSHIP DISCOUNTScompanies accept them the same way. Because
Some aviation ownership clubs and advocacy groups,training and insurance go hand-in-hand, you should
such as the AOPA and EAA have special insurancecompare the total cost involved and make an
programs that can provide a discount for theirinformed decision about your insurance and training
members. Though the groups may recommend aoptions. A higher insurance premium may be offset
specific agent, all independent agencies have accessby lower training costs. This leads to an overall
to these programs. You don't have to change agentssavings that can make corporate aviation more
to get the best price. Make sure your membershipsefficient and profitable. If your agent is not able to
are current and that your agent is aware of yourhelp you with this process, you should strongly
membership ID numbers.consider working with one that is.
PILOT EXPERIENCE AND TRANSITION PILOTSWe hope this information will encourage you to work
Most underwriters agree that experience is the bestwith your agent to set training and experience goals
teacher. One of the biggest challenges in aviationto help control your costs or make the transition to a
insurance is finding affordable coverage for pilotsmore complex aircraft. Be sure your agent is aware
transitioning into more advanced aircraft. Accidentof your plans and any training or pilot proficiency
reports show that less-experienced pilots andprograms you have completed. Premiums can be
transitioning pilots are at the highest risk, andnegotiated and negotiation starts with communication.