February 2001 Issue
Rates on the Rise
Big losses and spotty competition have brought back a hard market. Modest singles are the winners, twins and turbines the losers.
If the party is all but over on Wall Street, the crowd may soon be thinning noticeably in the aviation insurance biz.
After more than a decade of competitive rates for aircraft owners, nearly everyone in the insurance business is talking about the latest “hard” market. What that means, simply, is that premiums are rising and you’ll have to jump through more hoops to get the coverage you want.
Why? Complex reasons, really, but a leading factor is that underwriters have been suffering significant losses and many haven’t seen much if any profits. Further, the big underwriters are consolidating into fewer yet bigger companies, something that doesn’t bode well for competition.
To continue reading this entire article you must be a paid subscriber.
Subscribe to Aviation Consumer
Aviation Consumer is the independent online source for impartial and uncompromising evaluations of aircraft, avionics, accessories, equipment and more.
Already subscribe but haven't registered for all the benefits of the website? Click here.
Subscriber Log In
Forgot your password? Click Here.