THE DIRECT ANSWER

Aircraft physical damage coverage and liability coverage serve different purposes. The policy schedule, definitions, exclusions and endorsements determine what a particular contract covers.

Two different jobs

Physical damage, often called hull coverage, concerns insured loss or damage to the aircraft. Liability coverage concerns specified legal liability to others. Neither term alone tells you the limits, exclusions or deductible. Passenger sublimits can matter even when an overall liability limit looks large.

Keep the phases of use separate

Ask about storage, ground movement and flight individually. A storage-only arrangement is not permission to assume flight damage is covered. For a vehicle intended for both public-road driving and flight, ask providers to explain how road and aviation exposures are handled, including any transition between them. Do not presume one policy follows every mode.

Questions for electric aircraft

These are questions to bring to a provider, not statements that a policy includes the protection:

  • How are battery damage, charging incidents and replacement costs treated?
  • What happens if a software or component problem grounds the aircraft?
  • Who arranges recovery, transport and repair after covered damage?
  • Are accessories, spare batteries or charging equipment separately insured?
  • What exclusions apply to wear, gradual deterioration or mechanical breakdown?

Read the answer in the contract

Ask the broker to identify the relevant policy wording for each concern. Record unanswered items before accepting terms. A summary or sales page is not a substitute for the contract, and an external provider listing here is not an endorsement.

Use our quote preparation checklist to organize the conversation.

Sources & context

Checked September 23, 2026. Provider descriptions establish published services, not eligibility, pricing or an endorsement. Confirm current terms directly.