What is Physical Damage Coverage?
Physical Damage or “Hull” Coverage is the amount of protection you have against damage to your aircraft. The limit for this coverage is known as your aircraft’s “Insured Value.” The common options for Physical Damage Coverage define when coverage will apply. These options are usually “All Risk Ground and Flight,” “All Risk Not In Flight” and “All Risk Not In Motion.” For a full description of these coverages and which is right for you, check with your insurance company or agent. Are there any requirements for carrying aircraft damage (hull) coverage? If the aircraft is financed, the bank will require you to carry ground and in-flight hull coverage. However, after the loan has been paid, some aircraft owners may remove the hull coverage to reduce the costs of aircraft ownership. If the cost of ground and in-flight hull coverage can’t be justified, the aircraft owner should at least consider a hull coverage that will cover the aircraft while it’s hangared or tied down. How much should I
