New liability insurance launched for U.S. aviation contractors

Policy

JSX Aircraft | Official Website

By Sky Industry News

Jul 30, 2024

Insurance underwriter Worldlink Specialty and Oneglobal Broking have introduced a liability insurance solution tailored for third-party contractors and consultants in the U.S. aviation and aerospace sectors. On Monday, the companies announced the new AeroPro product that addresses a gap in liability coverage for clients performing tasks such as aircraft development work or valuations.

AeroPro, backed by the Lloyd’s of London insurance markets, offers professional liability coverage for issues including technical errors and omissions, incorrect advice, and privacy breaches. According to Worldlink Specialty’s president and chief underwriting officer John Songin, the coverage could be suitable for contractors like charter flight brokers, aircraft sales brokers, auditors, and companies working under contract to Tier 1 or 2 aerospace manufacturers.

Songin, who is a pilot, told AIN that the AeroPro cover could protect an insured party from situations arising from subcontracted services. This might include a charter broker contracting with an aircraft operator for a flight that subsequently subcontracts the booking to another operator only for something to go wrong.

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Another example involves the sale of an aircraft. “Sometimes in this process, an intermediary might take possession of the aircraft, leading to something [damaging] happening during the inspection or buying process,” Songin explained. “Or an auditor might miss something like corrosion that could result in liability.”

As a business-to-business product available on a non-admitted basis in the U.S., AeroPro is accessible through brokers who assess potential liabilities and determine the required amount of coverage.

“Our broker partners have expressed a strong need for an innovative product to address aviation professional liability exposures in the U.S.,” Songin commented. “The launch of AeroPro represents the culmination of our deep market knowledge, extensive experience in underwriting aviation risks, and our ongoing commitment to enhancing our capabilities to better serve the needs of our partners.”