What UAV Pilots Need to Know About the Insurance Act 2015
As of 12th August 2016, The Insurance Act 2015 will come into force. This act presents the biggest statutory change to commercial insurance law since the Maritime Insurance Act of 1906, and as such, it bears some pointers that should be taken note of for any pilot wanting to continue operating safe and professional commercial jobs.
The entire act is available to be read online, however we have put together the main changes that will effect UAV pilots and the commercial drone industry for you to read below:
- The burden of proof always lies with the insurer
- Partial insurance even with a fraudulent claim
- Duty of Fair Presentation
- Have I told my insurers enough detail about the equipment I have?
- Have I told them what kind of work I will really be doing – even the one off jobs that could affect risk factor
- Does my insurer know that I need my kit protected whilst in transit?
- Does my insurer know that I am lifting other people payloads and they need to be insured?
- Have I told my insurer about changes to my drone which has changed its performance in any way?
Up until now, the legislation regarding commercial insurance has been seen to be bias, in favour of the insurer. The main changes in this act can be perceived as an attempt to re-address the balance to make the ruling fair for those seeking insurance too.
Should there be any dispute, or acquisitions of a fraudulent claim, it is the insurer’s responsibility to prove there was a deliberate attempt to give false information from the insured. This has led to an increased need for detailed and clear information given to the insurer.
Should a dispute occur, and adequate evidence has been provide to prove a fraudulent claim the insurer may void the policy and keep all premiums. What has changed, is that now they are liable to still protect the insured up to the point of the fraudulent action.
To make these changes, a much higher level of detail and disclosure from the insured is required by the insurer. Extreme care needs to be taken in ensuring all information that would affect the risk assessment is given to an insurance company.
Although this may seem an arduous task, doing so can assist the company in coming to an informed and intelligent decision.
To help make sure you are complying with these rules, next time you are applying for insurance, we suggest you ask yourself: