(September, 2014)

Naturally, an aviation insurance underwriter must carefully evaluate every application. A particular concern is the qualifications of the persons listed as pilots. Pilots are comprised of persons holding different licenses (certificates), including:

• An airline transport pilot certificate is required to fly as captain by some air transport operations.
• A commercial pilot certificate lets the pilot conduct some operations for compensation and hire.
• A private pilot certificate lets the pilot carry passengers and provides for limited business use of an airplane.
• A recreational pilot certificate limits the holder to: specific categories and classes of aircraft, the number of passengers which may be carried, the distance that may be flown from the departure point, flight into controlled airports, and other limitations.
• A sports pilot license (certificate) holder allows for the operation of aircraft that, due to their weight and speed are classified as light-sport aircraft. However operation is restricted to such aircraft with current airworthiness certificates.
• A student pilot license (certificate) is designed for the initial training period of flying. The student pilot must have a flight instructor present. He or she can solo after appropriate instructor endorsements.
• A rotorcraft only pilot license (certificate) permits the holder to only operate aircraft that are powered by rotary propellers such as helicopters, autogyros, rotodynes and similar craft.
• A glider only pilot license (certificate) limits the holder to: operating only non-powered aircraft designed to be towed into airspace.

Since aviation policy application does not provide enough details about each pilot, it must be supplemented with this critical information. A pilot history form is required as additional underwriting information. Typically, a pilot history form asks for the following information:

General

This category of a history form asks basic, identifying information such as:

·         Name

·         Address

·         Pilot's age

·         Airmen's Certificate (aka Pilot License) Number

·         Employment information (contact info, hire date, position)

·         Phone/Fax/Cell Numbers

Flying Experience

According to the Federal Aviation Administration, there are more than 600,000 pilots in the United States. Each of these pilots has a unique level of experience. Typically, a form will ask for information about pilot experience in two areas: experience in all aircrafts and experience in the type of aircraft under consideration for insurance. The experience is expressed in the documented (logged) number of flight hours.

The number of logged hours must be broken down by type of aircraft, so information has to include the aircraft's make and model. A history form may ask the number of hours experience in aircraft such as jets, turboprop, helicopters (or rotary wing), multi-engine, etc. It may also ask about number of hours on instruments (actual and simulation), number of instructor hours and other pertinent information on experience.

While total experience is important, the most important consideration is the level of current experience. Therefore, a pilot history form usually requests a breakdown of logged hours for the last 12 months as well as the last 90 days. This can be a very important underwriting issue.

Often a history form may ask how much experience has been acquired as Pilot In Command and as Second In Command.

Certificates/Ratings Held

This is an important area as it supplements the pilot's experience information and provides insight on his or her actual qualifications. Specifically, this area discloses the skills that a pilot has been able to acquire and demonstrate at a level that it is officially acknowledged. Naturally, successful underwriting must be sure that the certification matches the type of aircraft that appears in the applicable submission.

Certification indicates both a pilot's level of overall expertise and the kind of proficiency.

With the exception of the student pilot level, certificates do not expire. However, pilots are subject to frequent and rigorous training to assure that their skills are maintained or improved. Acquiring a certificate (or rating) demands that a pilot receive adequate training (with an accredited instructor), fly a certain number of hours and be successfully tested in the area in which he or she received their training. A pilot history form usually asks whether certification exists for the following:

·         A and P Mechanic

·         Aircraft Inspector

·         Airline Transport

·         Centerline Thrust

·         Commercial

·         Glider

·         Instructor

·         Instrument

·         Lighter Than Air

·         Multi-engine Land

·         Multi-engine Sea

·         Private

·         Single Engine Land

·         Single Engine Sea

·         Student

·         Rotorcraft

Note: The operation of Ultralights does not require a certificate.

Biennial Flight Review

Active pilots are subject to a review that tests general and specific knowledge, as well as expertise in a given class of aircraft operation. This review is mandatory and is comprehensive, consisting of:

• Ground Review
• Flight Activities
• Post Flight Debriefing
• Health Maintenance and Improvement.

Medical Certificate

The inquiry involves the class of the medical certification (1^st through 3^rd) and the date of a pilot's last physical exam. Of course, underwriting would be interested in an update if the last physical is nearing the two-year interim (especially when the situation involves an older pilot).

Note: The operation of most lighter-than-air craft does not require a medical certificate.

General Questions

Typically a pilot history form includes general, but important, questions involving a pilot's background such as:

·         Criminal history

·         Record of civil/military regulatory violations

·         Serious traffic violations (particularly reckless or impaired operation)

·         Medical issues that could affect ability to safely operate an aircraft

·         Insurance coverage problems (rejections or cancellations)