LRingeisen
Well Known Member
Wow, 2020 has been a crazy year so far! With everything going on over the past couple of months, we wanted to give a little overview of insurance changes that have happened.
We are still seeing significant rate changes mainly with the RV-8, RV-10 and RV-12. Some of these renewals have come in with a 30% increase. Unfortunately older pilots are seeing the majority of these increases. Over the past several years in fear of age limits lowering, we have been trying to move all of our older pilots to companies that would be more suitable for them. With that being said, and due to underwriting guidelines changing, we have a limited number of companies willing to take on a new risk with a pilot who is 70 or older.
Speaking of underwriting guidelines changing, we have mentioned before that insurance companies are getting more strict about who they will insure. For example, prior to this year a few hours tailwheel could be enough to get a quote for a tailwheel model Vans. Now most companies want to see that you have at least 25 hours tailwheel before they will even take a look at the risk. This is certainly so for the RV-8. In fact, prior to binding coverage, the more hours you have in the specific make and model, the better off you will be when you go to request quotes.
Your broker should be there to help you especially in times like this. They should always be willing to shop out your renewal to make sure you are still getting the best option for your situation. If you have any questions about your renewal, call and talk to them, but please remember that the rates come from the insurance companies not the broker themselves. We’re not always happy with the changes that we see either. Hopefully we have reached the top of the hill on the roller coaster and we will start seeing a slide back down the other side. Either way, we will continue keeping you informed as best as we can.
We are still seeing significant rate changes mainly with the RV-8, RV-10 and RV-12. Some of these renewals have come in with a 30% increase. Unfortunately older pilots are seeing the majority of these increases. Over the past several years in fear of age limits lowering, we have been trying to move all of our older pilots to companies that would be more suitable for them. With that being said, and due to underwriting guidelines changing, we have a limited number of companies willing to take on a new risk with a pilot who is 70 or older.
Speaking of underwriting guidelines changing, we have mentioned before that insurance companies are getting more strict about who they will insure. For example, prior to this year a few hours tailwheel could be enough to get a quote for a tailwheel model Vans. Now most companies want to see that you have at least 25 hours tailwheel before they will even take a look at the risk. This is certainly so for the RV-8. In fact, prior to binding coverage, the more hours you have in the specific make and model, the better off you will be when you go to request quotes.
Your broker should be there to help you especially in times like this. They should always be willing to shop out your renewal to make sure you are still getting the best option for your situation. If you have any questions about your renewal, call and talk to them, but please remember that the rates come from the insurance companies not the broker themselves. We’re not always happy with the changes that we see either. Hopefully we have reached the top of the hill on the roller coaster and we will start seeing a slide back down the other side. Either way, we will continue keeping you informed as best as we can.