Wondering whether you need insurance for your hobby drone? How much commercial drone insurance costs? Whether you need liability insurance?
Below are quick answers to some of the most common questions about drone insurance. If you have a question not covered below, feel free to ask in the comments.
- Is Drone Insurance an FAA Requirement?
- What Kind of Drone Insurance Do I Need?
- I Fly a Drone for Fun. Do I Really Need Insurance?
- Do I Have to Get an Annual Liability Insurance Policy?
- Does Homeowner’s Insurance Cover Drones?
- How Much Insurance Do I Need?
- Can I Get Insurance for Multiple Drones?
- Do I Need Part 107 Certification to Get Drone Insurance?
- Can I Get Insurance for a Hired Drone?
Is Drone Insurance an FAA Requirement?
No. The FAA has no such requirement even for commercial fliers.
But if you are in Canada, things are different. Canadian law requires commercial drone fliers to take out liability insurance of at least $100,000.
But simply because the FAA does not deem insurance necessary doesn’t mean that you don’t need it. This is especially the case for commercial drones.
Some clients will only hire drone operators with valid liability insurance.
Insurance also protects your expensive drone and covers your ass in case of anything.
What Kind of Drone Insurance Do I Need?
There are two main types of drone insurance: liability insurance and hull insurance.
Liability insurance is the most basic type of insurance that all serious drone owners should have.
It covers you against financial claims from third parties arising from property damage or injuries caused by your drone.
It’s a lot like car liability insurance.
Hull insurance covers the drone itself against accidental damage.
You probably need both types of insurance especially if you are flying commercially.
Depending on your situation, you may also need additional types of insurance such as Payload insurance for any on-board equipment, ground-equipment insurance and non-owned insurance.
I Fly a Drone for Fun. Do I Really Need Insurance?
Drone insurance may feel too expensive and unnecessary when you just occasionally fly your drone as a hobby.
In such a situation, check whether the manufacturer sells an extended warranty to cover against damage to the drone.
If you are buying a DJI drone, I highly recommend you get either DJI Care or DJI Care Refresh.
As for liability insurance, get it if you fly often in areas where you are likely to cause damage or injuries.
Do I Have to Get an Annual Liability Insurance Policy?
Annual liability insurance policies can be quite expensive if you don’t use your drone regularly.
Thankfully, there’s a cheaper and more convenient alternative – Verifly.
Let’s say you get occasional real estate photography gigs. Instead of paying hundreds of dollars per year in liability insurance that you don’t fully use, you only pay for coverage when you need it.
Verifly sells liability insurance coverage on demand. You pay as little as $10 an hour. They have packages for 1 hour, 4 hours and 8 hours.
An alternative to Verifly is SkyWatch who provide hourly and monthly plans.
Does Homeowner’s Insurance Cover Drones?
Most homeowner’s insurance policies do cover recreational drones the same way they cover any other personal property.
But they many not cover all scenarios.
Some policies only cover personal properly against theft, fire and vandalism. If you damage your drone accidentally while flying it in your backyard, you may not be eligible for compensation.
I recommend you check with your insurer for clarification.
How Much Insurance Do I Need?
The majority of hull and liability insurance policies cover you up to $1,000,000.
For more expensive commercial drones, there are policies that go as high as $5,000,000 but expect to pay more in premiums.
At the very least, you should get a $1M insurance policy.
Can I Get Insurance for Multiple Drones?
Yes it’s usually possible to get combined insurance for several drones but you’d have to check with your insurer.
Some may require separate policies for each drone.
Do I Need Part 107 Certification to Get Drone Insurance?
It will depend on the insurer.
Some insurance companies demand proof that you have experience and training. They may demand for Part 107 certification or offer their own certification.
Can I Get Insurance for a Hired Drone?
If the drone is not yours, you can get what is called non-owned insurance. Check if your insurance company offers it.