UAS INSURANCE

Unmanned Aircraft Insurance | Basics and procedures

TM

A Transport Risk Management, Inc. Brand

UNMANNED AERIAL SYSTEMS

• What are UAS?

• What are UAS used for?

• Why have UAS become so popular?

• How big is the market?

• What can you insure?

• What is the underwriting criteria?

• What is the process for obtaining quotes?

WHAT ARE UAS?

UAS = UNMANNED AERIAL SYSTEM

An unmanned aerial system is the aircraft combined with a sensor, ground station and controller.

UAV = UNMANNED AERIAL VEHICLE

A UAV is a simple vehicle designed to carry a sensor and to be operated remotely.

WHY HAVE UAS BECOME SO POPULAR?

Drones Can… Help Farmers ...Weave Buildings

...Sell Real Estate...Enable Paparazzi...Make Sports (and Other Events) Look Cool

...Fight Crime

...Guard the Border

...Put Out Wildfires

...Hunt Wild Animals…Save Wild Animals ...Monitor Wildlife

...Deliver Pizza ...Deliver Other Stuff, Too ...Do Journalism ...Inspect Oil Rigs

...Transport Medicine ...Save Lives

...Entertain Nerds

…Mapping and GIS

332.Integration of civil unmanned aircraft systems into national airspace system

(a)Required planning for integration

(1)Comprehensive plan

Not later than 270 days after the date of enactment of this Act, the Secretary of Transportation, in consultation with representatives of the aviation industry, Federal agencies that employ unmanned aircraft systems technology in the national airspace system, and the unmanned aircraft systems industry, shall develop a comprehensive plan to safely accelerate the integration of civil unmanned aircraft systems into the national airspace system

(3)Deadline

The plan required under paragraph (1) shall provide for the safe integration of civil unmanned aircraft systems into the national airspace system as soon as practicable, but not later than September 30, 2015.

The FAA Modernization and Reform Act of 2012

This bill was enacted after being signed by the President on February 14, 2012. The text of the bill below is as of Feb 8, 2012 (Passed Congress/Enrolled Bill).

THE TOTAL DOMESTIC ECONOMIC IMPACT WILL REACH MORE THAN $82.1 BILLION BETWEEN 2015 AND 2025 — CREATING MORE THAN 100,000 HIGH-PAYING JOBS IN THE PROCESS.

GOOGLE BUYS DRONE MAKER TITAN AEROSPACE

"Titan Aerospace and Google share a profound optimism about the potential for technology to improve the world," Google said. "It's still early days, but atmospheric satellites could help bring internet access to millions of people, and help solve other problems, including disaster relief and environmental damage like deforestation."

WHAT CAN YOU INSURE?

Small UAS Large UAS

Multi-Rotor Yes Yes

Single Rotor Yes Yes

Pilot Optional Yes Yes

Fixed Wing Yes Yes

Ducted Fan Yes Yes

UNDERWRITING CONSIDERATIONS

• Make/Model to be operated

• Operator experience• Usage and application• Environment to be

operated• Loss experience• Safety Management

System• Professionalism

Hull Coverage

• Value at risk• Launch/recovery• Overwater operations• Wear & tear and

deterioration• Deductibles • Payload• Accidental damage

War Perils and Other Hazards

• Not just typical war coverage issues

• Malicious damage and sabotage

RISK MITIGATION STRATEGIES

• Operational environment• Safety and risk mitigation

strategies• Public/private events, large

crowds • Contractual language• Distributor and

manufacturer liability coverage

• Typical GL excludes aviation exposures

PERSONAL INJURY AND PRIVACY

• Hot button item• Limited coverage available• Act of overflying UAS vs.

Helicopter• Key elements

• Standard operational procedures

• Protocols• Logbooks• GPS technology – bread

crumbs

Seattle Woman Sees Drone Peeping Into Her Apartment Window

QUESTIONS?