View Full Version : Liability Insurance for independant mechanics????

Mach One
06-14-2007, 08:13 AM
Does anyone here carry liability insurance, working as an independant contractor? If so, where did you obtain it, and how much is the premium.??

Any reccomendations on where to get some reasonable liability insurance for contract A&P work. The flight school I got my pilot license with is adding to its fleet and has approached me to work on their planes on a part time contract basis. I want to cover my bases though. Anybody have any reccomendations ?

All my experience in the last 30 years has been in the military, miltary contract, and the last 18 years as an airline mechanic. Nearing retirement I want to have my own shop, IA, and the experience in GA to be successful. Thats my goal with working at the school, to gain experience, but not lose my "assets"

06-15-2007, 09:50 AM
I'm interested in the same issues and posted in the legal thread.
Apparently, there isn't much concern out there. I am more interested in strategies for reducing asset exposure. I hear doctors talking about how outrageously expensive malpractice insurance is and how some are placing their assets in trusts, etc, showing no or limited assets on paper as a strategy. I'm seeking the same thing for mechanics.
I'm simply no longer willing to sign stuff off and risk losing everything I have worked for without some protection

John Reed
06-15-2007, 08:43 PM
I'm simply no longer willing to sign stuff off and risk losing everything I have worked for without some protection

You and me both brother.

Especially older Part 91 privately owned aircraft. The best thing to do is make a thorough list of the descrepancies after having completed the Annual and make an entry that reflects that you completed the inspection and a list of descrepancies and unairworthy items has been given to the owner. There is no requirement to write that the aircraft is in an airworthy condition.
Then you have accomplished your part by completing the inspection and then the ball is in their court to take responsibility to fix their descrepancies.

06-16-2007, 12:14 AM
If nothing else, I would at least incorporate yourself as an LLC (limited Liability Corporation)......that way, in a lawsuit, the jury (or judge) could only award damages based on the assets of the corporation (leaving your home, auto, and personal possessions out of the mix). Look into it before signing anything off on your A&P.
Remember; lawyers are seeking the "deep pockets".

06-16-2007, 09:02 AM
Thanks, that is one of the things I am looking into. I'm more interested in some sort of trust, effectively eliminating personal ownership of any assets. I was hoping to find some folks in aviation who have done similar things. Seems like they won't bother you once they discover you don't have anything to get. I would much rather find reasonable insurance coverage, but it is ridiculously expensive.