Unmanned aircraft (UA) also known as drones, have become more and more popular both for entertainment and commercial use. They are used for things like taking photos, making videos, surrounding area observation, industrial inspection and even in rescue operations. But did you know that to use an UAV safely and legally, more often than not you need insurance? In this article we’ll tell you why unmanned aircraft towners’ third-party liability insurance is important not only when it is set by law, but also for anyone who wants to use a drone for their private purposes. We’ll also cover main things to keep in mind so that your flights are nice and safe!

Basic rules before take-off

There are several things to keep in mind prior to using an UAV, to avoid hurting yourself or others. Make sure that your flight does not endanger the life, health and privacy of others, safety of other aircrafts, nature and animals, as well as it does not affect the work of rescue services. UAV requires labelling with its owner’s or the unmanned aircraft pilot’s name, address and phone number, which should be readable without using additional devices. If the weight of un unmanned aircraft exceeds 250 g, third-party liability insurance is mandatory.

The need for insurance and its types

Unmanned aircraft flights fall into three categories.

1. Open category – flights with comparatively low risks.
2. Specific category – flights with increased risks.
3. Certified category – flights that has the risks and requirements are in line with manned aviation.

If your UAV is used for personal needs, for instance, taking photos or videos, the minimum liability limit determined by the regulations of the Republic of Latvia Cabinet of Ministers (CM) amounts to EUR 50 000. However, you may select a larger liability limit if you consider it necessary.

Insurance policies can be very different depending on the use of the unmanned aerial vehicle. The following are examples of the possible UAV use, which might require unmanned aircraft owner’s third-party liability insurance:

• private flights,
• making videos and taking photos,
• area observation,
• commercial use (industrial inspection, surveying, agriculture, etc.),
• flights of increased risk.

Why should you choose BTA insurance?

Unmanned aircraftowners’ third-party liability insurance ensures financial protection for unforeseen events, for instance, if your UAV accidentally damages someone’s property or causes harm to others. Furthermore, insurance is a mandatory requirement if an unmanned aircraft weighs more than 250 g, as well as in the case of commercial and specific flights.

We have developed special terms and conditions intended for owners’ third-party liability (TPL) insurance. Even though often the market practice is to insure these risks under general TPL, the CM regulations are issued in line with the Law of Aviation, which clearly states that this is in fact an aviation risk. Upon development of the insurance terms and conditions and insurance products, BTA has considered the needs and preferences of our clients, as well as realized that development of UAV occurs very rapidly, and in many cases, it is related to aviation risks.

That is why we made a choice to develop an insurance product for this particular segment to ensure customer satisfaction and quality-driven risk assessment, as well as prospective claims handling based on longstanding experience in aviation risk insurance. Operating an unmanned aircraft can result in losses on land, however, the most significant losses can occur resulting from a collision with another aircraft, which might be deemed an aviation accident. Losses in such kinds of accidents might significantly exceed the minimum limit set forth by the CM regulations.  

Basic and additional risks offered by BTA

In line with the minimum requirements set forth by the CM regulations, BTA insurance offers the following basic risks:

• damage caused to life or health of third parties,
• damage or destruction of third-party property,
• damage caused to the environment.

In addition, BTA offers the following additional risk covers:

• rescue expenses,
• expertise expenses,
• litigation expenses,
• expenses in regard to environmental pollution.

Take care of your safety in advance!

Unmanned aircraft owners’ third-party liability insurance is an important step to ensure safe and legal flights no matter if the UAV is used for personal or commercial purposes. Keep in mind that insurance will not only help you to avoid financial risks, but also provide you with assurance and peace of mind about your flight. That’s why prior to take-off make sure that you have met all the requirements and purchased BTA Unmanned aircraft insurance!