work in-progress insurance

prkaye · #1 10-17-2008, 06:46 AM

How many of you guys have work in-progress insurance? I've been debating about this. With my engine arriving next week, I will now have a significant investment in my garage. House insurance doesn't cover aircraft. But other than fire, I have to wonder what's really the risk? I can hardly imagine somebody stealing it... what would they do with it, and how would they get it out of the garage without being noticed?
So, I can't decide whether it's worth the cost of work in-progress insurance.

L.Adamson · #2 10-17-2008, 06:52 AM

Since I stretched the project for 12 years....

I carried insurance for about the first four, at around $350 per year. Then I dropped it, since I had no loans on the aircraft/engine.

It's now fully insured for liability and hull.

L.Adamson --- RV6A

Jamie · #3 10-17-2008, 06:53 AM

People have stolen engines off of aircraft parked on the ramp at airports, so I wouldn't put it past anyone. In these hard economic times I would certainly consider it. I purchased insurance once I received my engine. It was a reasonable $600.00/year for 60K value. For me it was worth it for the peace of mind.

flion · #4 10-17-2008, 09:44 AM

Mine was uninsured until it moved to the airport; at that time it was only the airframe (i.e., Van's kits). At the airport I needed insurance anyway (KFLG requires $1M liability for a hangar space) and was about to order the really expensive stuff, so I got $20k hull which rose as I added the panel and engine.

While it was at home, it was not airplane parts, it was tools and hobby materials, covered under my homeowner's (and before that renter's) policy with full knowledge and advice of my State Farm agent.

uk_figs · #5 10-17-2008, 10:18 AM

I insured my RV-7 after I got over about $30K invested, they also covered the move from garage to airport. Annual cost was $100 per $10K through Falcon (Harvest Jones). For info I just set up the in flight policy and for me ( 200hrs total time, 110 hour tailwheel) and $80K hull value quotes were all around $2300/2400.

Dave

xavierm · #6 10-17-2008, 10:33 AM

Since I don't have a garage, I'm building at the airport. Insurance was a requirement so I got builders insurance (AIG). I got the lowest coverage possible, just to meet the insurance requirements. Planning to increase it as the build progresses.

szicree · #7 10-17-2008, 11:25 AM

Quote:

Originally Posted by flion

While it was at home, it was not airplane parts, it was tools and hobby materials, covered under my homeowner's (and before that renter's) policy with full knowledge and advice of my State Farm agent.

Unfortunately, State Farm will not consult your agent when deciding whether to pay a claim; they will follow the letter of the contract. If the contract excludes aircraft parts and all your reciepts are stamped "Van's Aircraft", you'll not be getting paid.

I have my project insured mostly in case of fire, but I would also consider theft of instruments a very real risk.

az_gila · #8 10-17-2008, 12:25 PM

Quote:

Originally Posted by szicree

Unfortunately, State Farm will not consult your agent when deciding whether to pay a claim; they will follow the letter of the contract. If the contract excludes aircraft parts and all your reciepts are stamped "Van's Aircraft", you'll not be getting paid.

I have my project insured mostly in case of fire, but I would also consider theft of instruments a very real risk.

...earthquake damage...

Several of the Van Nuys EAA Chapter members projects were damaged in the Northridge earhquake, but luckily not too much.
A long-Eze had it's garage collapse on it....

Theft and earthquake were my two biggest worries when I lived in S. Calif.

Brantel · #9 10-17-2008, 12:34 PM

I agree,

Tons of people put way to much faith in what their agent tells them word of mouth. With insurance, if it is not in writting by the underwritter, it won't happen.....

Most homeowners insurance specifically exclude projects such as ours.

Quote:

Originally Posted by szicree

Unfortunately, State Farm will not consult your agent when deciding whether to pay a claim; they will follow the letter of the contract. If the contract excludes aircraft parts and all your reciepts are stamped "Van's Aircraft", you'll not be getting paid.

I have my project insured mostly in case of fire, but I would also consider theft of instruments a very real risk.

sbarger24 · #10 10-17-2008, 12:38 PM

I carry insurance on my RV-7A for piece of mine. Its at the airport in a hanger with two other aircraft, and I now have 60K invested in this piece of aluminum. Its not flying yet, but you have to ask yourself if you can afford to replace it if something happened.