What type of insurance coverage does an aircraft repair station need?

An aircraft repair station requires a comprehensive insurance coverage package that includes product liability, hangar keeper liability, airport liability, and an umbrella policy to adequately protect against various risks associated with their operations.

Product liability insurance is crucial as it covers damages arising from defects in the repairs or modifications made on aircraft, which could lead to accidents or loss of life. Hangar keeper insurance is necessary to protect the aircraft that are stored or maintained at the repair station, ensuring coverage against damage or theft while they are in the facility’s care. Airport liability insurance covers accidents that may occur on the airport premises, protecting against claims made by third parties. Additionally, an umbrella policy provides extra coverage beyond the limits of standard policies, offering an additional layer of protection against significant claims or unforeseen liabilities.

Repair stations operate in a high-risk environment, and having this comprehensive insurance coverage is an essential component of their risk management strategy. It helps safeguard not only the repair facility but also the aircraft owners and operators who rely on the quality and safety of the repair work.