Insurance required for rented hangar?

[alpinelakespilot2000]

My name just came up for a county hangar after 2.5 years on a waiting list. I really don't need it for about 6-9 mos., but now is the time it's available and they almost NEVER come open at my airport. However, as I'm reading the contract, I'm finding someting about required insurance:

"The tenant shall provide aircraft liability insurance coverage in an amount not less than: $100,000 bodily injury, $300,000 property damage, and $300,000 each occurrence. The tenant agrees to prpovide and maintain proof of aircraft liability insurance requirements through the term of the lease."

My questions:
1. Is this a standard requirement for those of you how have city/county leases? (I'm assuming so, but who knows.)

2. If my plane is not yet done, but in the process of being built, how do I get insurance that meets the above requirements? Is this something that builder's insurance would normally cover? How can I handle this issue?

Again, I'm definitely not at the stage where I have to have the hangar for final assembly, but I should be there pretty soon and so I don't want to have to give up this hangar.

Any help? Thanks.

[RV7Factory]

Steve,

AFAIK, liability is pretty much the norm. We are required to have it here as well. In fact, we must provide the city with a certificate of coverage showing them (the city) as one of the named insureds on the policy.

I don't know if your builder's policy would cover it. I do seem to recall having this discussion with Avemco a few years back and they said they could provide the required coverage for a $fee$... sigh. IIRC, I needed $1M in coverage, and it was going to cost me an additional $250/yr on top of my construction policy. Bottom line is, every agent or company I have talked with has been familiar with city insurance requirements and has offered to provide me with the necessary coverage and paperwork.

Good luck!

BTW... I know how you feel. After 3+ years I made it to the top of the list here. Of course it was around the same time that we moved into our new home and had a baby, so I passed. Now I am on page 4 of 5 of the wait list... AGAIN!

[Harvey L. Sorensen]

The insurance that they want is liability property damage. This means that if your aircraft should catch fire or something like that and dammage or destroy the hanger your aircraft insurance would cover the damage to the hanger.
Paying the rent and putting NOTHING inside would not make you a very big risk. So maybe they would not require insurance if the hanger was not used, and when you put your aircraft in then they would require the coverage.
Just a thought or a maybe. Talk to them.

[Mike S]

I used these folks when I had a hanger on county owned property.

http://www.bbinsurance.com/index.shtml

Good luck,

[DanH]

My little "city" (Wetumpka AL) has a similar insurance requirement in the airport hanger leases. Some years ago I couldn't find a policy to cover the hanger only, but perhaps that has changed.

[RV7Factory]

Originally Posted by Harvey L. Sorensen

The insurance that they want is liability property damage. This means that if your aircraft should catch fire or something like that and dammage or destroy the hanger your aircraft insurance would cover the damage to the hanger.

Sorry, but I have to disagree somewhat. People don't win big bucks in law suits over property damage, the big concern (and big $$$) is personal injury liabilty. Their primary concern is that you are providing the city, and its officials, with a layer protection against somebody suing them because they got hurt in your (rented) hangar. That isn't to say they don't care about the hangar, but I think the property damage aspect is secondary.

[the_other_dougreeves]

ADS requires aircraft liability if you rent a hangar. This is perhaps as much to do with preventing hangars from turning into mini-storage as much as anything.

TODR

[apatti]

Originally Posted by the_other_dougreeves

ADS requires aircraft liability if you rent a hangar. This is perhaps as much to do with preventing hangars from turning into mini-storage as much as anything.

TODR

On this note... Be sure to check your hangar rental agreement fully. Mine has a clause that the leasee must have a flying aircraft in the hangar within six months. One of the members of this board is currently housing his T18 in "my" hangar. And he is not even charging me! What a guy!

[beattiema]

The City (operates the airport) and Army Corps of Engineers (own the land the airport is on) only require liability insurance if the aircraft hangared inside is operational. If not then we sign a form certifying the aircraft is not operational and are then not required to provide proof of insurance. Something to look into.

[craigvince]

Here at KSCK, my lease says I have to have insurance. However, when I went into the (county) airport office and explained that I was building, they told me to get insurance before it flies.