Insurance renewal shock

[Chris Briley]

Does anyone have a recommended insurance broker?  I just received my renewal and am surprised my premium increased by 20%.  This is my first renewal, bought the plane last year, and I have over 130 hours in make and model now.  
 

I was hoping for an improvement in my premium, not a huge increase.  
 

Thanks, 

Chris 

[Shadrach]

On 6/11/2021 at 7:02 AM, Chris Briley said:

Does anyone have a recommended insurance broker?  I just received my renewal and am surprised my premium increased by 20%.  This is my first renewal, bought the plane last year, and I have over 130 hours in make and model now.  
 

I was hoping for an improvement in my premium, not a huge increase.  
 

Thanks, 

Chris 

It’s not you it’s the Market. I have 1000 in type and mine increased by 40%.  It’s not your broker. There’s a good chance your previous carrier chose not to renew and your broker found you the best deal he could from the shrinking number of carriers willing to underwrite GA policies.

@Parker_Woodruff may be able to help you.

Edited June 13, 2021 by Shadrach

[MBDiagMan]

I just got my quote yesterday.  It was up 40% last year and another 25% on this quote.  Considering self insuring.

[A64Pilot]

If any of you aren’t instrument rated, that rating usually has a large impact on insurence rates, maybe Commercial too.

‘Insurence in general has gone this way, many insurence companies won’t write insurence for larger boats now as well and the ones that will have raised rates by a rather large amount, if it follows the boating model, first you will get a couple of large increases, then a notice of non renewal, and your claims history is irrelevant.

It woud be nice if we as a group could find some kind of preferred broker etc. My rate is higher than I expected as well

Edited June 11, 2021 by A64Pilot

[David Lloyd]

With a little digging you will find several threads, other forums, same topic.  Most have seen substantial increases the last two years.  Just prior to that, rates were very low.

Last year I had a 60% increase, in May another 15%.  Another big increase an I might go liability only.

[PT20J]

From @Parker_Woodruff comments in other threads, I gather that most rates are up. How much depends on the market and the carrier. Some carriers were apparently buying market share with low rates in the past and are having to make it up now. Several have left the market entirely.

Skip

[Parker_Woodruff]

5 hours ago, Chris Briley said:

Does anyone have a recommended insurance broker?  I just received my renewal and am surprised my premium increased by 20%.  This is my first renewal, bought the plane last year, and I have over 130 hours in make and model now.  
 

I was hoping for an improvement in my premium, not a huge increase.  
 

Thanks, 

Chris 

Need more specifics to see where you fit in the market.  Total time & if you're instrument rated would be good indicators on what you should be seeing from last year to this year.

I'm free after 3pm central today...

Parker@airspeedinsurance.com

214-295-5055

[Guest]

I’m thinking these increases are just bring you guys into the real world.  I’m so often surprised by the low number you guys post in the past.

Clarence

[Mark942]

14 hours ago, MBDiagMan said:

I just got my quote yesterday.  It was up 40% last year and another 25% on this quote.  Considering self insuring.

I've had my Mooney for 4 years now.  My first year with ZERO time in type or complex was my least expensive.  EVERY year my rate has gone up 20-35% compounded.  My "Liability" premium as shown on the policy is only $336 this year.  My total bill is $2,516 for $100K hull coverage.  If I decided to go with "Liability Only" should I expect the bill to be the $336 or do the insurance companies raise the price of Liability only by a factor of 3X or something like that to discourage people form going with Liability Only.  After all, they really do want to sell insurance including Hull coverage.  Anyone have experience with this option??

[Shadrach]

17 hours ago, M20Doc said:

I’m thinking these increases are just bring you guys into the real world.  I’m so often surprised by the low number you guys post in the past.

Clarence

Agreed. I was paying under $1000 five years ago for 65k hull value with standard limits. I couldn’t get full coverage on a car for that. I’ve noticed that vehicle rates are up across the the whole spectrum. Car insurers are offering discounts if they can bug your car to monitor vehicle movements in real time.

Edited June 12, 2021 by Shadrach

[Browncbr1]

The insurance companies want their cut of stimulus payments too, ya know.  

[Shiny moose]

I did not get an increase in the past 3-4 years except a hull value increase that I requested, waiting right now on new rate quote from AOPA (assured Partners) hope its a good one

[MikeOH]

16 hours ago, Shadrach said:

Agreed. I was paying under $1000 five years ago for 65k hull value with standard limits. I couldn’t get full coverage on a car for that. I’ve noticed that vehicle rates are up across the the whole spectrum. Car insurers are offering discounts if they can bug your can to monitor vehicle movements in real time.

Yep.  I wonder how long before that will be the law (especially here in the People's Republic of Kalifornia)

[BKlott]

On 6/11/2021 at 10:09 PM, M20Doc said:

I’m thinking these increases are just bring you guys into the real world.  I’m so often surprised by the low number you guys post in the past.

Clarence

I have to agree. Many years ago it was typical that retractables carried at least $1,000 more in annual premium costs than fixed gear airplanes. If you wanted an RG, you had to pony up an extra grand every year plus endure a more expensive annual getting the gear tested. I even posted something along these lines several years ago and basically got laughed at. 

[moontownMooney]

As a point of reference... We just went through our third renewal with this plane. Our
rates went up ~40% despite the last of our named pilots getting his IFR and all of us getting good time in this year. We are hangared, have four named pilots, all IFR, all over 250 hrs total, over 100 RG, all under 40, all over 30 hrs make and model. Our premium for $65k hull value is $3750. Apparently our biggest issue is that we are based at a short-ish grass strip.

Sent from my LM-V405 using Tapatalk

[59Moonster]

On 6/11/2021 at 8:55 AM, A64Pilot said:

If any of you aren’t instrument rated, that rating usually has a large impact on insurance rates, maybe Commercial too.

 

Instrument didn't help me much when I got mine. But could have been the low hours as well. 

Try Avemco. They are independent of the others so unless you call them, you won't get the same quote like all the other companies get. 

Insurance right now just flat out sucks!

[RobertGary1]

On 6/11/2021 at 7:09 PM, M20Doc said:

I’m thinking these increases are just bring you guys into the real world.  I’m so often surprised by the low number you guys post in the past.

Clarence

When I compare car or building insurance I was away surprised how low aircraft rates are. Try insuring a $100,000 car for $2000/yr. it was probably never sustainable. 

[Vance Harral]

15 hours ago, moontownMooney said:

Our premium for $65k hull value is $3750. Apparently our biggest issue is that we are based at a short-ish grass strip.

My data point is 6 months old, which is an eternity given current market behavior.  Still, we added a 4th partner at the end of December with *no* instrument rating, *no* complex endorsement, and *no* time in Mooneys (or any other complex aircraft) other than a couple of demo flights.  Other three partners have IR, lots of time in type, etc.  $58K hull value, pretty close to yours.  Total premium was $2787 with Avemco.  That was dramatically less expensive than options our long-time broker was able to find with other carriers.  We're not quite old enough yet to worry about sticking with a single broker "forever", so with apologies to our broker, we switched to Avemco.

[cwaters]

My data point is from Jan 2021, 100hr TT, 0 in type, 0 retract, non IR (working on it now) and 80k hull, Quote was $3050 (about I don't have it in front of me)

[AerostarDriver]

I also got a quote in Jan 2021 on an M20E.

~300hrs TT, 8hrs in type and N9606V, Commercial with Instrument rating, ~100 hrs Complex, less then 10 hours flown in the last year, with a 75K hull at $2,441. Honestly, did not seem crazy when compared to my car or part 107 insurance.

[Hank]

39 minutes ago, cwaters said:

My data point is from Jan 2021, 100hr TT, 0 in type, 0 retract, non IR (working on it now) and 80k hull, Quote was $3050 (about I don't have it in front of me)

Almost identical to what I paid when buying my C in '07 with 62hr TT, 0 complex and 65K hull.

With IR and >250 in type, I paid $1137 and it continued to fall for the next two years to <$1000, stabilized for a couple and has climbed to >$1500 at last year's renewal (>50% increase intwo years). Changes:  I'm at a longer field with Instrument approaches, in a different state (Ohio to Alabama).

[Guest]

2 hours ago, RobertGary1 said:

When I compare car or building insurance I was away surprised how low aircraft rates are. Try insuring a $100,000 car for $2000/yr. it was probably never sustainable. 

My daughter's $7000 cars costs almost as much to insure as my other daughter's $45,000 C150.

If the car is written off I'd be lucky to get a few thousand back.

 

Clarence

[KLRDMD]

2 hours ago, Vance Harral said:

Other three partners have IR, lots of time in type, etc.  $58K hull value, pretty close to yours.  Total premium was $2787 with Avemco.  That was dramatically less expensive than options our long-time broker was able to find with other carriers.  We're not quite old enough yet to worry about sticking with a single broker "forever", so with apologies to our broker, we switched to Avemco.

I'm not going to complain at all. That's within 10% of the premium I'm paying; policy bound May 8, 2021. But mine is for a twin, a Cessna 310 with well over double the hull value and I only had a total of 5 hours make and model at the time.

[smwash02]

14 minutes ago, KLRDMD said:

I'm not going to complain at all. That's within 10% of the premium I'm paying; policy bound May 8, 2021. But mine is for a twin, a Cessna 310 with well over double the hull value and I only had a total of 5 hours make and model at the time.

Did you have a decent amount of multi time prior?

A deal for a Piper Geronimo crossed my path about 6 months ago and I was entertaining picking it up to get my multi.

I (~1500TT, ~1000 retract, IFR) asked for it to be insured for $30k and they came back saying they can't cover the hull and it would be $4k for liability only. I pay half that for my Encore with a hull of nearly 7 time more. I asked if I could get a clause requiring X hours with an instructor before flying solo or with passengers, but they wouldn't do it. They said to get my multi and 20 hours and come back and try again. I passed.

[KLRDMD]

Just now, smwash02 said:

Did you have a decent amount of multi time prior?

A deal for a Piper Geronimo crossed my path about 6 months ago and I was entertaining picking it up to get my multi.

I (~1500TT, ~1000 retract, IFR) asked for it to be insured for $30k and they came back saying they can't cover the hull and it would be $4k for liability only. I pay half that for my Encore with a hull of nearly 7 time more. I asked if I could get a clause requiring X hours with an instructor before flying solo or with passengers, but they wouldn't do it. They said to get my multi and 20 hours and come back and try again. I passed.

I had a fair amount of multi time, I wouldn't say a lot. A few hundred hours. Avemco won't even give you a quote on a multi without at least 100 hours of multi time.