As drones become increasingly popular, more people purchase them for personal and commercial use. Whether you’re an experienced drone operator or a novice starting, drone insurance is one of the most important considerations. Drones can be expensive, and accidents can happen, so it’s essential to ensure you have the right drone insurance coverage. This guide will review the different drone insurance policies available and help you determine which is correct.
Liability Insurance
Liability insurance is the most basic type of insurance coverage for drone owners. This type of drone insurance is essential to use your drone for commercial purposes, such as aerial photography or videography.
What does liability insurance cover?
Liability insurance covers damages or injuries caused by your drone to other people or their property. For example, if your drone crashes into a building or injures someone while you’re flying it, liability insurance will cover the costs of any damages or medical expenses.
How much liability insurance do I need?
The liability insurance you need will depend on the intended use of your drone. The Federal Aviation Administration (FAA) requires liability insurance of at least $1 million for commercial use. For personal use, you should consider purchasing liability insurance that covers at least the value of your drone.
Related Reading: Photographers Insurance
Hull Insurance
Hull insurance is another type of insurance coverage for drone owners, and it covers damages to your drone and any attached accessories or equipment. This type of insurance is essential if you have an expensive drone or plan to use it frequently.
What does hull insurance cover?
Hull insurance covers damages to your drone and any accessories or equipment that may be attached to it. This includes damages caused by accidents, collisions, or other unforeseen events.
How much hull insurance do I need?
The amount of hull insurance you need will depend on the value of your drone and any accessories or equipment that may be attached to it. However, it would be best to consider purchasing hull insurance that covers at least the replacement cost of your drone and its accessories.
Personal Injury Insurance
Personal injury insurance is another type of insurance coverage for drone owners, and it provides coverage for injuries sustained by the drone operator while operating it. This type of insurance is essential for commercial drone operators who may be at a higher risk of injury while flying.
What does personal injury insurance cover?
Personal injury insurance covers injuries sustained by the drone operator while operating it, including injuries caused by accidents, collisions, or other unforeseen events.
How much personal injury insurance do I need?
The amount of personal injury insurance you need will depend on your drone’s intended use and risk tolerance. However, it would be best to consider purchasing personal injury insurance that covers at least the cost of medical expenses and lost wages in the event of an injury.
Next Steps
In conclusion, insurance is essential for anyone who owns a drone. Liability, hull, and personal injury insurance are all essential types of coverage to consider, depending on the intended use of your drone and your personal risk tolerance. By understanding the different types of insurance available and the coverage they provide, you can make an informed decision about which type of insurance is right for you and your drone. Accidents can happen, so it’s better to be prepared and protected than risk financial ruin.
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Frequently Asked Questions
Do you need drone insurance in the US?
In the United States, there is no FAA requirement for businesses using drones, whether for recreational or commercial purposes, to purchase insurance since it is not mandated by law.
What are the exclusions for drone insurance?
Insurance policies typically have a clause excluding aircraft coverage, which also applies to drones. This means that any harm caused by a drone to a third party, whether used for business or recreation, will not be covered under most homeowners and general liability policies.
Are drones tax deductible?
Section 179 of the tax code can be utilized to purchase commercial drones. Your business can deduct the entire cost of qualifying equipment, such as drones, from the taxable income in the year of purchase. This way, you won’t need to depreciate the cost over several years.
Can you fly a drone without registering it with the FAA?
Drones weighing less than 0.55 pounds (250 grams) flown exclusively for recreational purposes are exempt from registration. If a drone is registered under part 107, it can be used for both recreational and part 107 purposes.