renter/lease insurance question

"Frederick Wilson" wrote in message
news:OoaNb.50172$nt4.83107@attbi_s51...
So what happens after a Million Dollars.

You know folks can be mighty greedy.

Fred


Bankruptcy Happens believe it is chapter 7




"Cub Driver" wrote in message
...

As a renter of the local FBO 172, should I obtain personal renter
insurance?

Yes. Your airport may not require insurance (mine does) but always
remember that the airport or FBO is insuring itself and doesn't care a
hoot about you.

It might come after you for the deductible (probably not a big
matter). Someone you injure might decide to sue you, as well as the
airport. Etc.

I pay a bit less than $600 a year for a million-dollar liability
policy, $25,000 hull insurance. You can ask the FBO for leads.

AOPA has an insurance broker. I buy mine from a private insurance
agency that represents AIG.


all the best -- Dan Ford
email:

see the Warbird's Forum at www.warbirdforum.com
and the Piper Cub Forum at www.pipercubforum.com

"Frederick Wilson" wrote in message news:OoaNb.50172$nt4.83107@attbi_s51...
So what happens after a Million Dollars.

You know folks can be mighty greedy.

Fred



sort of depends on what your assets are, and how much of a gambler
the person suing is. as i understand it (and i'm sure corrections will
be forthcoming if i am mistaken), the insurance company tries to
negotiate a settlement somewhat less than the million, and that the
settlement is conditional on being accepted as "payment in full" --
iow, by accepting the settlement the suer waives any further right
to compensation.

so, the suer is offered, say, half-a-mil. your assets are two mil.
take the sure bet or gamble on losing (or being awarded a lesser
amount) in court? hmmmm....

of course if your assets are 1 mil you have nothing to worry about.
conversely, if your assets are 10 mil, they might be willing to gamble,
so you should pay a higher premium for more coverage. buy the
protection you need to protect your assets.

mho,

g_a

Peter R. wrote in message ...
Robert M. Gary ) wrote:

If your FBO has full hull and you have limited assets, what are
you trying to protect with a renter's policy???

Future earnings?

In accounting we call those "assets".

"Frederick Wilson" wrote
As a renter of the local FBO 172, should I obtain personal renter insurance?

Maybe. A lot depends on whether you are worth suing. As a general
rule, if you were worth suing you could afford to buy your own
airplane.

What are the pro's and con's?

The pros are that the insurance company will pay if you are sued. The
cons are the premium and significantly increased likelihood of being
sued.

I'm not an expert on this, so I will simply relay what I was told by
an expert. The instructor who signed me off for my private glider
ride practiced for two decades as an aviation attorney, working
exclusively in GA. Of all the instructors in the club, he was the
least concerned about liability. When I asked him why, he told me the
best kept secret of the profession.

You just can't get a lawyer excited about suing someone who is
uninsured on a contingency basis. Neither he nor anyone he knew in
the business (and he knew lots of people in the business) ever
accepted such a case. He said it would take someone with a net worth
of millions to make him try it.

There are all kinds of reasons for this. Insurance companies tend to
be reasonable and will settle if their legal staff says the case is a
loser. Individuals tend to ignore the legal advice, and will expend
their liquid assets defending the suit just so the plaintiff won't get
it, even if it costs them more. Most people have most of their net
worth in their cars, houses, and retirement accounts - things you
can't get in a lawsuit. Attaching wages is rarely worthwhile, and
bankruptcy is no longer the unthinkable act it used to be. Basically,
you can't get blood from a stone.

Where would one get such coverage?

Most insurance companies (AOPA, AIG, etc) offer it. It will be
several hundred dollars a year. But realistically, if the cost of the
insurance gives you a bit of sticker shock, you probably don't need
it.

Michael

Fred,

Just renewed my renter's insurance through AOPA, slightly cheaper than
Avemco with the same coverage and it was only $50 to add my employer
as a named insured as opposed to $300 with Avemco.

For $80,000 hull coverage and $1 mil liability with $100,000 sublimits
per person (which I despise, but smooth insurance for renters is NOT
available), I'm paying just over $1,000. I was amazed to find that
ratings and flying time do NOT matter on the price. I take recurrent
training every six months, yet that didn't affect the rate at all.
For owned aircraft insurance ratings and recurrent training do affect
the price of the insurance.

Do NOT get insurance that just covers the FBO's deductible, that does
not protect you if the FBO's carrier chooses to subrogate against you
for the loss.

The problem is that there is only $100,000 available for injury or
death per person, which you can burn through in a big hurry. However,
the policy does provide you a defense, which is very valuable. An
aggressive defense and $100,000 may help cut down the risk to your
personal assets.

The only alternative is to not fly or buy an airplane and buy a smooth
policy to cover yourself when flying it.

All the best,
Rick

"Frederick Wilson" wrote in message news:Jw2Nb.51945$8H.102633@attbi_s03...
As a renter of the local FBO 172, should I obtain personal renter insurance?

What are the pro's and con's?

Where would one get such coverage?

Thanks,
Fred

that is the truth... renters insurance for a given hull value is about the
same as owners insurance for the same hull value... imagine that..

BT

"G.R. Patterson III" wrote in message
...


Rick Durden wrote:

For $80,000 hull coverage and $1 mil liability with $100,000 sublimits
per person (which I despise, but smooth insurance for renters is NOT
available), I'm paying just over $1,000.

Wow! That's nearly what I'm paying for insurance on my Maule!

George Patterson
Great discoveries are not announced with "Eureka!". What's usually
said is
"Hummmmm... That's interesting...."

Rick Durden wrote:

For $80,000 hull coverage and $1 mil liability with $100,000 sublimits
per person (which I despise, but smooth insurance for renters is NOT
available), I'm paying just over $1,000.

Wow! That's nearly what I'm paying for insurance on my Maule!

George Patterson
Great discoveries are not announced with "Eureka!". What's usually said is
"Hummmmm... That's interesting...."

Robert M. Gary ) wrote:

Peter R. wrote in message
Robert M. Gary ) wrote:

If your FBO has full hull and you have limited assets, what are
you trying to protect with a renter's policy???

Future earnings?

In accounting we call those "assets".

I believe they call them assets in legal circles, too!

--
Peter












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"G.R. Patterson III" wrote in message ...


Rick Durden wrote:

For $80,000 hull coverage and $1 mil liability with $100,000 sublimits
per person (which I despise, but smooth insurance for renters is NOT
available), I'm paying just over $1,000.

Wow! That's nearly what I'm paying for insurance on my Maule!

Why should that surprise you? The risk is actually about the same (maybe
worse for the renter). My owner coverage includes coverage on non-owned
aircraft to the same limits. Pretty cool eh?

George,

Do you only have a $100,000 sublimit policy?

If so, you might want to reconsider and get a smooth policy if you
have any assets worth protecting.

All the best,
Rick

"G.R. Patterson III" wrote in message ...
Rick Durden wrote:

For $80,000 hull coverage and $1 mil liability with $100,000 sublimits
per person (which I despise, but smooth insurance for renters is NOT
available), I'm paying just over $1,000.

Wow! That's nearly what I'm paying for insurance on my Maule!

George Patterson
Great discoveries are not announced with "Eureka!". What's usually said is
"Hummmmm... That's interesting...."