Quick question, asking for a friend!
He is a new Helicopter Pilot and now owns a Bell 47.
It’s a nice machine and is appraised at about $150,000.
His full coverage insurance premium is $9,000.
He also owns a Piper Warrior and a similar policy runs him $1200.
His question to me today was…
“George, would it make any sense at all to only carry Liability on this Helicopter and cut my insurance bill down to about $1700 a year?”
He’s a Doctor, great guy, more money then God, or at least as much and I’d like to help him…
So I thought I would ask for any input.
The negative side is obvious with a hull loss, while not bankrupting him, it would be a financial hassle to replace the helicopter.
On the positive side, with obtaining Liability only, he’s saving several thousands a year.
I know some guys do this with their Condo’s in Florida. Hurricane Insurance is basically unaffordable and so guys just “self insure” and eat any losses IF they occur.
So, have any of you guys out there adopted that frame of mind and are pretty much “self insuring” the hull on their airplanes, keeping Liability on so you’re not sued into the Poor House??
Hope the question makes sense!
Thanks in Advance for your Help!
Fly Fun, Stay Safe!