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Insurance while Building in your Garage

R

Rupester

Well Known Member
Upon checking, my longtime insurance man (IM) informs me my homeowners' policy does not cover anything "in assembly". IM says it's because many companies got burned (so to speak) by guys who had huge $$ tied up in a major car rebuilding project. So I now have $22k worth of aluminum and Vans parts in my garage that are uninsured. How are most of you handling this issue? A special policy outside Homeowners? Hull insurance?

Terry R.
Mahomet, IL
N319TE; RV-9A fuse
 
Terr,

Tell them it is an "aluminum sculpture" and THEN they will cover it!

;)

Right Jim Pappas?

Actually, Chad just receently purchased project insurance. To the best of my knowledge, NO homeowners policy covers airplanes.

Me? I am self insured. I understand that it is risky, but if anything ever did happen... it would be such a tremendous emotional setback I don't know what I would do.

:) CJ
 
It's doubled since then, but still a good deal when you consider how much you have at risk.

PJ
RV-10 #40032
 
Search

Do a search of the Forums, this topic has been brought up a bunch and there is some good info out there.
 
builder's risk

Hey Terry,
Your aircraft insurance agent / underwriter will cover it while you build. I had mine with Packer & Associates, Radnor, OH. aircraftinsurance.net I'm sure Pappas can do the same.

I do think it cost too much :eek: for the risk.
 
I just called Falcon, (EAA Insurer) it's about $400.00/year for $40,000.00. Covers fire, theft, vandalism, tornadoes etc. It does not include the trip to the airport. I will probably go with them, they will bind it over the phone if you already have your N-number. I didn't, so I'm waiting on mine now.
I had delayed doing anything until my engine arrived. Just received it from Aerosport so decided I better get on with it.
 
insurance

CJ you are correct! I can do it and so can all the other guys mentioned.

Having sold homeowners policies for about 20yrs prior to starting my "aluminum sculpture" (I like that one:) I argued that my home policy should cover it too.

I called ALL my Carriers for Home insurance and got the same answer, if worded a little different, no way, not covered, period. Grraaate!

I will admit to not having insurance at all on my kit yet as I am still on my tail so not enough to sorry about yet.

When I order my wings I will get it because then I have too much at risk to lose.

There is still a question of any liability involved because I have been told by the Home insurance guys that they won't cover someone getting hurt by my kit (helping out or just walk by and get cut for example) but I also know a great Aviation type Lawyer (and RV owner) that tells me he'd love to take that one to court.

Not sure if this helps but just my slightly biased 2 cents.
 
I insured mine last year for $40 K, cost $418 a year with liability. (I guess in case it fell on someones head?) Anyway, mine is now at the airport and insured for $60 K, $518 per year (renewed it yesterday). Nation Air.
Larry
 
Insurance

Many thanks to all of you for the many good referrals ....and the ever-embedded humor. Ya'll are great.

Terry R.
Mahomet, IL
N319TE; RV-9A fuse
 
Say I have $16,000 in parts (emp., wings, fuse) and aircraft tools, my house burns down or gets broken into and I get wiped out, if I have $40K in coverage do I get a $40K settlement or $16K? Is there some figure for each hour of my labor? I think I'm going to get covered real soon.
 
mdoyle said:
...it does not include the trip to the airport....
Click to expand...
Which is why (in a matter of weeks, hopefully) I'll be calling a fully insured flat-bed tow truck to move my project.
 
briand said:
Say I have $16,000 in parts (emp., wings, fuse) and aircraft tools, my house burns down or gets broken into and I get wiped out, if I have $40K in coverage do I get a $40K settlement or $16K? Is there some figure for each hour of my labor? I think I'm going to get covered real soon.
Click to expand...
Can't speak for anybody else's policy, but the one I had from Nationair while I was building had a "sliding scale" value-wise. You just keep all of your receipts and invoices, and the value was determined at any point in time by the tally of your receipts plus your builder's log hours times some hourly value.
 
briand said:
Say I have $16,000 in parts (emp., wings, fuse) and aircraft tools, my house burns down or gets broken into and I get wiped out, if I have $40K in coverage do I get a $40K settlement or $16K? Is there some figure for each hour of my labor? I think I'm going to get covered real soon.
Click to expand...
I just went through the quote process a few months back and it seems that in many cases $40K is the minimum coverage some companies are willing to write. It doesn't mean you will get more that what your parts are worth, it simply means that you are covered up to $40K in losses for $X of premium. As Dan said, showing receipts as proof.

Not all insurance policies offer equal coverage (features), some will cover your build time or tools (if you want) while others won't, some will cover transport to the airport and some will not. You just need to decide what features are important to you. As usual, ask lots of questions and know what you are buying before you place coverage.

I could be wrong, but I seem to recall having a conversation with JT at Nationair some months ago where they aren't covering build time anymore (on new policies). Just something to confirm with Nationair if you go with them.
 
Just came across this thread...

I did just buy coverage from Jim Pappas. My annual premium is $383.

I bought it because if something did happen to the project while under construction, I want (need) to be able to recover that financial loss. Emotionally, I would be sick...but the money would have to come back.
 
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