What to Expect at your Renewal

As nearly every policyholder can attest, one of the most frustrating aspects of the market in 2020 was the lack of market competition and the return to more restrictive underwriting. Most of the underwriters were content to sit on the sidelines in 2020 and only offer terms on their existing renewals, which in most cases, only left brokers with one option for renewal. The lack of options was made worse by underwriters returning to more traditional underwriting. Flexible pilot warranties were replaced by annual make-and-model-specific pilot training requirements. Pilot age was again a hot topic and is often leveraged as an excuse to increase premiums and lower limits of liability. The use of deductibles to lessen exposure was also back in play. Bottom line: just when we needed options, we didn’t have any.  

This leaves many wondering what can be done to alleviate the issues associated with the current market. There has never been a better time to sell yourself and your operation: 

• Highlight the steps you are taking to set yourself apart from other pilots or other operators. 
• Talk about what you are doing to go above and beyond for recurrent training. 
• If you have losses, explain the steps you have taken to mitigate the exposures. 
• Ask your aircraft insurance broker if you can have a visit with your underwriter this year. An in-person visit is ideal, but even a video or conference call (given the COVID environment we have all become accustomed to) is personal and can have a positive impact on the underwriter’s interest in your business. 
• Be sure to provide the requested renewal information to your aviation insurance broker; that information helps your broker sell you to the underwriters.